TAILIEUCHUNG - THE GROUP SAVINGS RESOURCE BOOK - A practical guide to help groups mobilize and manage their savings

The system with an LSM however also possesses some ‘bad’ equilibria. These feature the somehow paradoxical mix of high liquidity usage, intense use of the LSM, and costs which exceed those of the vanilla RTGS system. The reason behind the existence of such equilibria is probably the following: if many payments are sent in the LSM, this can be self-sustaining, in the sense that each bank finds it convenient to do so. However, the RTGS stream may become less expedite (as fewer payments are processed there), which may in turn imply that the equilibrium level of liquidity is also large | The group savings resource book A practical guide to help groups mobilize and manage their savings The group savings resource book Food and Agriculture Organization of the United Nations The designations employed and the presentation of material in this information product do not imply the expression of any opinion whatsoever on the part of the Food and Agriculture Organization of the United Nations concerning the legal status of any country territory city or area or of its authorities or concerning the delimitation of its frontiers or boundaries. The word countries appearing in the text refers to countries territories and areas without distinction. The designations developed and developing countries are intended for statistical convenience and do not necessarily express a judgement about the stage reached by a particular country or area in the development process. The opinions expressed in the articles by contributing authors are not necessarily those of FAO. Text Ji-Yeune Rim John Rouse Illustrations Rustam Vania Editing and layout Jonathan Cook All rights reserved. Reproduction and dissemination of material in this information product for educational or other non-commercial purposes are authorized without any prior written permission from the copyright holders provided the source is fully acknowledged. Reproduction of material in this information product for resale or other commercial purposes is prohibited without written permission of the copyright holders. Applications for such permission should be addressed to the Chief Publishing and Multimedia Service Information Division FAO Viale delle Terme di Caracalla 00100 Rome Italy or by e-mail to copyright@ FAO .

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