1. If this were to inhibit credit expansion it could lead to lower interest rates. 2. When the loans are redeposited in banks, they form the base for yet more loans, and thus takes place a process of multiple credit expansion. 3. Governments permitted the credit expansion required to finance the higher price level. 4. Domestic credit expansion was aimed at making Mexican voters feel better. 5. Indeed, economists say credit expansion already has slowed in the last few months as lenders tightened credit. 6. But despite the smaller increase in its consumer price index, fears remain that inflation could increase in coming months due to the high rate of credit expansion. 7. Camdessus believed that Malaysia could cope with its problems especially after measures had been taken to strengthen the finacial sector and limit credit expansion. 8. He explained that Indonesia would limit the base money supply and credit expansion through high interest rates in order to bolster the rupiah. 9. Malaysia, he said, can cope with the problem, especially after measures were taken to strengthen its financial sector and limit credit expansion. |