Data
CPMI pushes for harmonised cross-border payments data
Launch of minimum standards aims to tackle risk of inconsistent ISO 20022 messaging
Reserve Benchmarks 2023 – model banks analysis
Benchmarking data sheds light on key differences in reserves management strategies in advanced, emerging and developing economies
Rate hikes: too much, too late – and now too dangerous
Why monetary tightening risks a global credit crunch
Cross-border CBDC challenging to deliver, officials warn
But digital currency could tackle “extremely high” remittance costs, says IMF’s Tobias Adrian
Mexican inflation slows slightly
Headline inflation remains over target, as analyst warns food and fuel prices could rise
BIS project maps ‘vast and complex’ global crypto network
Project Atlas uses diverse data to allow central banks to track cross-border flows
Demand for cash under uncertainty: a global update
Antti Heinonen explores data showing surges in cash demand during periods of uncertainty
Over 15% of reserve managers plan diversification changes
Close to 14% of participants will increase diversification, while 17.2% are discussing changes
Wallstreet and others rank highest for reserves technology services
Ion’s Wallstreet treasury system tops the 2023 rankings
Reserve managers rank JP Morgan top for custody and banking
BlackRock preferred for knowledge transfer and capacity building
Basel III capital shortfall narrows but liquidity ratios fall
Average capital ratios returned to pre-pandemic level in December 2022, Basel Committee says
Reserve managers vote BlackRock as overall best asset manager
Goldman Sachs and “other” asset management firms also score highly
High income countries less likely to tranche reserves
Overall, 72.4% of central banks divide their portfolios into liquidity and investment sections
‘Illiquid lemon markets’ can worsen crises – NBER paper
Authors extend George Akerlof’s Nobel prize-winning work to the macroeconomy
Will the use of CBDCs improve cross-border payments?
International trials using CBDCs highlight significant architectural and practical challenges, writes Warren Coats
Fewer than half of reserve managers perform liquidity stress tests
Approach tends to be more common among African and American institutions
FX reserves commonly invested in US Treasuries, bank deposits
SIBs and EU NextGeneration fund trail behind, as reserve managers avoid infrastructure and crypto
Colombian research offers advice on modelling Covid-19 shock
Pandemic is challenging to model due to its transitory impact, authors say
Few central banks expanded existing swap lines over the past year
Nearly one-third of new and existing lines are denominated in US dollars
Trade in other currencies will reduce USD reserves share, say managers
Over 72% of respondents believe efforts to denominate trade in other currencies will have long-term effect
External managers hired to set up new asset classes and train staff
Central banks also look to external managers to boost returns and access market intelligence
Reserve managers cut duration as top inflation-proofing strategy
No respondent reports expansion into non-conventional assets
Boards responsible for benchmark approval at most central banks
Over half of lower-middle income respondents favour investment committee over other methods
Central banks’ average import coverage ratio falls further
Upper-middle income institutions tend to have a higher ratio