Thibault Lemaire is a PhD candidate in economics within the Sustainable Development Economics group at Université Paris 1 Panthéon – Sorbonne and works at Banque de France. His dissertation analyses the consequences of climate change for the conduct of monetary, exchange rate and macroprudential policies in developing countries. His research also focuses on informal labour and monetary and fiscal policy in developing countries. He holds a BSc in Economics from Toulouse School of Economics and a Master’s in development economics from Université Paris 1 Panthéon – Sorbonne.
Civil conflicts can have devastating effects on a country’s population, physical capital and real sector. This column summarises new research that assesses the effect of civil conflicts on misalignment of the real exchange rate and concludes that the monetary and financial sectors are also affected by civil conflicts. The resulting currency overvaluation, in real terms, has strong implications for the post-conflict transition.