Suppose you're leading a team of macroeconomists to visit India and Bangladesh, separately, as part of the IMF's Article IV consultation mission to discuss economic and financial situations as well as propose macroeconomic policy recommendations. At the end of the mission, you are asked to present an executive summary back to the Managing Director of the IMF focusing on the impact of recent geo-political tensions, i.e., the war in Ukraine and the tension between China and the US, having spillover effects to these two countries.

Based on what you have learnt so far in this course, discuss the channels by which these recent events may have implications for macroeconomic variables of interest to policy makers in India and Bangladesh, including the exchange rate (against the USD) and the current account balance. Do you think that the fiscal and monetary policy stances in these countries are appropriate to tackle the issues? If not, what policies would you recommend going forward? You can cluster the two countries together for a common assessment, but most likely there will be country-specific idiosyncrasies to consider.

Figures: Figures can be incorporated if they help you to make a major point. It should be clear what a figure is showing (i.e., axes, lines, etc. well labeled) without the reader needing to refer to the text, and the source of any data should be cited. Given the audience (see above), only include a graph based on models from the course if you are prepared to explain in detail what the graph represents. (In my experience, this is very difficult, given the length requirement.)