Households: Currency convertibility
for the households has tremendously improved since Uzbekistan's acceptance of Article VIII.
IMF financing supported the initial reform package that launched convertibility
and helped Argentina through the bank run that accompanied the 1995 Tequila crisis.
This move eliminated the characteristic of full convertibility
. However, it failed to reassure the markets.
The controversy also applies to studies on Chinese stock markets (i.e., A shares and B shares markets), which was characteristic of complete market segmentation, and similar to the Chinese foreign exchange markets before partial currency convertibility
. Chui and Kwok (1998) argue that foreign investors may be better informed than Chinese domestic investors about the value of financial assets, because of the Chinese government's control of mass media and the more advanced technology for processing and analyzing information by foreign investors.
Without the credibility of convertibility
to specie, a country may have an incentive to inflate its currency in order to provide seigniorage revenues, especially if it legislates monopoly privileges for its fiat currency.
Dowd  discusses the paradox of indirect convertibility
by using an example where $1 notes are convertible into an amount of silver sufficient to purchase a specified quantity of gold.
Buoyant with careful economic management leading to foreign exchange reserves of our $ 2 billion, the Finance Minister pointed out that the main objective of current account convertibility
is the creation of greater confidence among foreign investors.
As far as the time scale of full convertibility
of the dirham in terms of the current account is concerned, Abouyoub claims it will be achieved sometime during 1993.
Within many multispecialty clinics, we see operational scalability (growing and shrinking of service lines) by space convertibility
Historically, currency convertibility
worked well in some countries such as Chile and Australia but failed in Argentina.
Transfer and convertibility
risks remain in Fitch's focus despite strong cash flow generation as in some countries Liquid Telecom's ability to use cash might be constrained by strict currency regulations.
The Philippines, like most nations that allow total convertibility
of the currency, maintains stability through Central Bank policies.