Credit conditions
Central banks should use direct lending in shocks – BIS paper
Lending to firms directly could reduce welfare loss during financial shocks, researchers say
Non-banks attracting more global liquidity than banks for first time
In Q1, more liquidity flowed to non-banks than banks for the first time in 40 years of BIS data
UAE central bank hails new financial stability remit
Financial stability report notes NPL levels have risen, but banks are also making larger provisions
Chinese domestic interest rates falling – PBoC official
Key money market rates falling, says PBoC official, and bank will try to boost credit for SMEs
Bank of Tanzania removes CEO of state-owned TIB Bank
The IMF has flagged the high levels of non-performing loans in the banking sector
‘Fintech shadow banks’ shaping global credit – Amit Seru
Regulators need to pay more attention to shadow banks, Stanford professor says
Higher US capital buffers leave firms’ debt unchanged – Fed paper
Individual banks cut lending due to higher capital buffers but firms find other lenders, researchers say
BoE’s Cunliffe says housing tools have worked
More evidence has emerged on “borrower-based” tools since they were first tested, deputy says
Russian central bank tries to cut consumer lending
Bank of Russia puts limits on “payday loans” and expresses concern over growth in unsecured loans
Nigerian governor unveils five-year plan
Emefiele makes ambitious growth promises and pledges better payments system and credit supply
Boston Fed’s Rosengren warns about Japanese banks’ loan holdings
Exposure to CLOs now above Common Equity Tier 1 in one of Japan’s largest banks, data shows
Book notes: Why not default?, by Jerome Roos
A thought-provoking book that will repay the investment of any reader with an interest in sovereign debt
Costa Rican central bank cuts rates for third time since March
Government supports efforts to stimulate credit by ‘cleaning’ credit records of 60,000 Costa Ricans
Carney pledges BoE will shape ‘future of finance’
BoE considers innovations on balance sheet, SME credit and climate stress tests; Carney says BoE will approach Facebook’s Libra with “open mind”, not “open door”
RBI renews push for loan clean-up after Supreme Court defeat
Revised circular designed to avoid legal issues suffered by earlier version
Limited access to finance increased business exits in Great Recession – St Louis Fed
Illiquidity may have played a greater role than insolvency in business exits, researchers find
BIS research documents high concentration of cross-border credit
Big banks dominate global credit, which matters for global spillovers, authors say
RBNZ points to high private debt as main financial stability risk
New Zealand central bank stresses climate change impact on insurance industry
RBNZ review lends support to loan-to-value limits
Macro-prudential tool has been helpful in promoting financial stability, study finds
Bank of Italy paper looks at impact of long-term rates
Long-term rates have significant impact on Italian banks’ risk appetite, researchers find
Don Kohn offers advice on macro-pru under uncertainty
BoE looks at wide range of indicators but could still do more, FPC member says
Strong dollar is weighing on trade – BIS’s Shin
Advanced-economy monetary policy may have made the problem worse, he says
BIS paper finds some potential benefits to ‘bigtech’
Firms may be better able to predict losses and support underserved borrowers, authors find
India’s Supreme Court deals major blow to RBI bank clean-up
Court strikes down tough RBI ruling on stressed assets, ending requirement for swift action in cases of default