By trying so hard to discourage capital outflows, the government could end up, net, increasing them.
Moreover, media reports cited declining positions of Chinese banks for foreign exchange purchases, an indicator of capital outflows.
The big concern in emerging economies is capital outflows, as investors sell domestic currency and take the proceeds abroad.
In addition, large capital outflows have undermined bank liquidity, making it harder to use the banks to finance expansion.
Shankar Raman, the chief financial officer, says this partly reflects planned investments in facilities and equipment, and working-capital outflows.
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Meanwhile, huge current-account surpluses cannot be expected to offset capital outflows for ever.
The data is consistent with capital outflows from Asia, Latin America, Eastern Europe, and the Middle East, the strategists said.
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But in the process, global demand will contract as emerging economies are forced to raise interest rates to deter capital outflows.
It should buy some of the riskier assets, and return some of these funds back to emerging-market countries to offset capital outflows.
Thus, not only PGMs but other commodities could suffer early in the year due to continued capital outflows from risky assets generally.
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By then, interest rates were beginning to fall, capital outflows were slowing and some short-term foreign debt was being repaid or restructured.
Capital outflows to pay for reconstruction would take the yen down, too.
The result would be a controlled liberalisation of capital outflows, along with the creation of new financial institutions and instruments at home.
So even if controls on capital outflows can buy time in a short-term panic, it is time bought at a high longer-term price.
Controls on capital outflows are harder to enforce than controls on inflows, since investors have a far bigger incentive to find ways round them.
Nobody should underestimate the determination of Brazil's officials to resist devaluation or controls on capital outflows, and their willingness to take the pain of tight money.
Mr Jen argues that these capital outflows need not be a sign that asset managers are gloomy about prospects for either the dollar or the American economy.
"There are some dubious capital outflows out of Cyprus as we speak, " one senior eurozone official directly involved with negotiations with Cypriot officials said before the banks had reopened.
While out of the radar ever since ECB chief Mario Draghi promised a liquidity backdrop, it will be difficult to spark growth given incredible capital outflows, particularly from Spain.
This decision came after the Thai government had exhausted its efforts to support the baht in the face of severe capital outflows due to over extension that was in part real estate driven.
"We also built models of 139 developing countries going back 30 years - the most comprehensive models ever developed on unrecorded capital outflows and the accumulated value of all this offshore wealth, " he explains.
To pre-empt further capital outflows, a government would have to pass a law swiftly to say all financial dealings would henceforth be carried out in a new currency, at a one-for-one exchange rate with the euro.
Slovenia's concern, beside a fear of re-colonisation by neighbours after only ten years as an independent country, was the stability of its currency in the face of large capital inflows or outflows.
Third, net flows of capital have masked outflows.
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The strong bolivar is encouraging imports of consumer goods, and outflows of capital.
Such outflows hurt capital intensive U.S. companies and destroy U.S. manufacturing jobs relative to the less capital intensive service sector.
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But it does not follow from this that governments are wholly at the mercy of sudden inflows and outflows of capital.
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