no history in this creates uncertainty in the markets, mainly about the financial effects it might have. there may be an overreaction of the markets, with increased stress and sharp rises in long - term interest rates. the rising cost of financing this would entail for emerging markets and some eurozone economies more dependent on external financing, would pose important policy challenges for them. in chile, this could lead to increases in both the cost of external financing of companies and banks and higher long - term interest rates domestically. as emphasized in our financial stability report, it is important for banks in this context to keep the exposure of their balance sheets at bay. in any case, the u. s. monetary authorities have argued that if confronted with an unwanted reaction the process could be delayed or even reversed to some extent, so it is possible for the effects of the withdrawal to be fairly limited. moreover, these measures should be adopted in line with a recovering u. s. economy and ongoing financial stability, so this scenario is not necessarily detrimental to the emerging economies, but rather could be a normalization from the extraordinary conditions prevailing in the advanced economies over the last five years. if confirmed, this normalization would reduce concerns about an excess supply of foreign capital that have been emphasized in several financial stability reports. these concerns relate to excessive borrowing by companies and banks abroad and asset price misalignments. domestically, a sharper deceleration of expenditure, and particularly investment, is a possibility. this would entail, with some lag, an also sharper or faster slowdown of the other components of expenditure, triggering inflationary pressures and affecting the course of monetary policy. lately there has been an increase in provisions for consumer credit, coinciding with a deterioration of the payment behavior of this segment, somewhat worse than could be bis central bankers ’ speeches expected given the economic cycle. although the banking system ’ s capitalization levels are above the regulatory minimums and the stress tests we present in the financial stability report indicate that they are sufficient to deal with a severe shock to growth and lending conditions, it is essential to closely monitor the evolution of these indicators and any factors that may affect them. in this sense, it is important to avoid any measures that might encourage non - payment. the increase in the current account deficit of the balance of payments has been cause for concern in the latest reports. as has been noted, this deficit is largely explained by fdifinanced investment flows into the tradable

with implications for the permanent income of the female workers affected. in the chilean case, this is illustrated by the fact that 63 percent of the workers who emptied their pension fund accounts after withdrawing their pension savings are women. about women ’ s expectations for returning to the labor force, the cbc conducted a study that collected the testimony of a group of women who left their jobs to devote themselves to care giving and found three groups with different types of expectations. one group includes those who expect to go back to the work once the sanitary situation returns to normal. another group includes those who believe that they will not return to the labor force after the crisis, with this expectation being more recurrent in older women. finally, those who do “ estimating non - remunerated household work 2020 ” statistics division, central bank of chile. ipec, may 2021, adimark. edin and gustavsson ( 2008 ), “ time out of work and skill depreciation, ” industrial and labor relations review ; hernanz and jimeno ( 2018 ), “ inestabilidad laboral en el empleo, duracion del desempleo y depreciacion del capital humano, ” cuadernos economicos de informacion comercial espanola ice. page 10 of 27 expect to return to the labor market, but in more flexible jobs that allow them to reconcile personal duties and paid work. women ’ s attitude towards returning to the labor force will depend on both the duration of confinements and school closures, and the recovery of the traditionally more feminized areas of economic activity. however, a higher prevalence of the latter two groups harbors the risk of a slower recovery of participation rates, or that in the future we will see an increase in the underutilization of the female labor force in terms of occupations with shorter working hours or lower productivity, such as self - employment or informality. all of the above should make it clear that while a full normalization of the labor market would require reversing the loss of jobs and the exit of women from the labor force, this will not necessarily occur automatically as activity levels recover. in other words, the abrupt, prolonged and traumatic exit of hundreds of thousands of women from the labor market in 2020 has economic, social and cultural ripple effects that may extend well beyond the normal cycle and become a bottleneck to a robust, sustained and equitable economic recovery. therefore, analyzing the evolution of the