IF 2 - Syllabus

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COURSE TITLE International Finance

Paper Number
Special Paper 8
(In case of Specialization)

Course Learning Outcomes:

On successful completion of the course students will be able to


1. To provide an understanding of International financial systems.
2. To understand the degree of global financial system and an analysis of countries based on the
financial indicators.
3. To learn about Balance of Payment and Forex Markets.
4. To understand the various International financial markets and instruments.
5. The importance of Central bank policy responses to manage financial instability.

The course tends to develop an understanding of international


finance and helps to understand global banking as well as the
Gist of this course in maximum 3 to
financial markets and instruments. The various policies &case
4 lines
studies provide us with a deeper understanding of the global
financial issues.
Detailed syllabus

Unit CONTENTS OF THE COURSE No. of Lectures

Introduction to International Finance


Contents
1. Segments of International financial systems
Growth of International financial systems and linkages with trade 8

International financial systems and linkages Economic


development
Global Banking Developments
2.
Contents
Macro financial environment- An Overview

Key Financial Soundness indicators - Credit growth, Rate of return on


assets and Capital adequacy ratios, Financial Market Indicators, 12
Liquidity Ratios

Global banking developments: Comparative analysis of selected


countries
Global policy responses to Capital Flow Volatility
3. Foreign Exchange markets
Contents
BOP and International Capital Flows-Current Global trends
FII and its impact on capital Flows-Change in its pattern in the
recent years
12
Foreign Exchange Markets-Transactions and the International
financial systems
Exchange rate management-RBI’s Role in management of
exchange rate (A regulators perspective based on book
reviews)

Impact of Covid-19 on Global FDI

4. International Financial Markets and Instruments


Contents
International Money Market Instruments
10
International Capital Market Instruments

Eurocurrency Markets
Debt Securitization

5. Currency, Debt and Financial crises


Contents
Meaning and causes 12
RBI response to crisis (A regulators perspective based on book
reviews)
Policy and Regulatory responses- Role of IMF in stabilizing
economies
Case studies of countries who dealt with the crisis
The Global Crisis-Covid-19 and its impact on the world economy

Total Number of Lectures 54

Recommended Reading:

• Apte.P.G.(2008) International Financial Management.TataMcGraw Hill, New Delhi


• Kevin. S (2009) Fundamentals of International Financial Management PHI Learning Pvt Ltd, New
Delhi
• Duvvuri Subbarao (2016) 'Who Moved My Interest Rate'Penguin Random House India
• Raghuram G. Rajan (2017) 'I Do What I Do' Harpers Collins publishers
• Report on Trend and Progress in Banking (2019-2020)
• Annual Report of The RBI (2019)
• Global Financial Stability Reports-2019
Suggested Reading
Maurice D. Levi (2012) International Finance. Tata McGraw Hill
Macroeconomics of Emerging Markets, Peter Montiel, Cambridge University PressISBN: 978- 0521733045
Eun.S. Choel& Resnick Bruce.G (2004) International Financial Management, Tata McGraw Hill, New
Delhi.
Bhalla V.K. (200) International Financial Management-Text and Cases, Amol Publishers Pvt Ltd.
Shapiro, Allen .0 (1995) Multinational Financial Management Prentice Hall of India Pvt Ltd, New Delhi.
Khanna Tarun&Paplepu Krishna (2010) Winning in Emerging Markets: A Road map for Strategy and
Execution. Harvard Business School Press.
KharasHomi Lombardi Domenicio (2012) The Group of 20: Origins, Prospects Challenges for Global
Governance. Brookings Institute.
Krugman Paul.R.(2003) International Economic Theory and Policy Pearson Education
Matto° Aaditya, Stern Roberts (2005) India and the WTO
Other References: Websites, Journals, Working Papers, World Bank Reports
Michael Melvin-International Money & Finance
D.M. Mithani (2018-19)-Money, Banking, International Trade & Public Finance

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