Governance
Governance Benchmarks 2026 – legal matters
Data reveals challenges relating to financial independence and legal protections for officials
Independence lower where central banks face legal issues
Financial independence a bigger problem where central banks say law is inappropriately worded
Pensions and staff morale least likely to constitute staffing challenge
Degree of concern varies by size of central bank
People: Williams to continue leading BIS markets committee
Plus appointments in Baltics and departures at Bank of Canada
Majority of central banks posted profit in last year
Largest share of profit-makers have no dividend sharing-contract with government
Half of central banks prohibit senior officials’ shareholdings
Minority of respondents working to adopt other internal policies
Non-executive directors earn five times less than governors
NEDs work an average of 14 hours weekly, Governance Benchmarks 2026 find
Economists expect BoK to tilt hawkish under Shin
Expert says new governor to bring ‘distinctly BIS-influenced framework’ to South Korean central bank
Boards with salary-setting duties have largest membership
Greatest number of non-execs appointed by government
Hyun Song Shin nominated as Bank of Korea governor
BIS’s former top economist says he will helm central bank at ‘critical juncture’
Roughly 40% of central banks lack a monetary policy committee
Governing boards remain widely responsible for setting overall strategy
People: Austria nominates IMF executive director
Plus: Turkey’s former governor joins Canadian finance firm; new Bulgarian deputy nominated
One in six central banks is being recapitalised
Process is ‘not as smooth as we would want it to be’, benchmark respondent says
Governors of smaller central banks earn slightly below global average
But governors’ salaries remain above $200,000 a year
European governors serve longest average term length
Central bank governors rarely appointed for one term or 3+ terms
One-fifth of central banks say governing laws are inappropriate
Government still sets salaries at one-tenth of jurisdictions
Fed watchers welcome court ruling on Powell
However, expert says DoJ’s appeal against decision could thwart Warsh’s confirmation as Fed chair
Hélène Rey to head BIS monetary and economic department
Scholar of international monetary system will replace Hyun Song Shin later this year
One in five smaller central banks lacks fining powers
Respondents still widely manage FX reserves and act as lender of last resort
Bundesbank gives up on renovating old headquarters
Bank to buy new HQ as renovation and maintenance would have cost too much
NBU tells banks to avoid Hungary after cash and gold heist
Hungarian government official explicitly ties asset seizure to dispute over stricken oil pipeline