Central Banking
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Fed opens dollar funding to majority of central banks
New repo facility aims to ease strains caused by global flight to the safety of dollars
Some thoughts on CBDC operations in China
PBoC's Fan Yifei outlines why he favours indirect CBDC in China
Failure to curb ‘binge borrowing’ could worsen downturn – Yellen
“Excessively” high corporate borrowing may trigger a “wave of corporate defaults”
Quotes
For Norges Bank as a central bank, the biggest challenge will be to maintain focus on its core functions while the responsibility for managing the oil fund increases in scale and complexity. It may, over time, look like the manager of the one of the world’s largest single pools of financial assets trying to run a central bank on the side.
Knut Kjær, former chief executive, Norges Bank Investment Management
You probably think minutes are a gold mine. Well, they are like a gold mine in that there is a whole bunch of rock and not much gold.
Stephen Poloz, governor, Bank of Canada
“Without an agreed framework, in the next crisis, Hank Paulson’s successor will once again be kneeling in front of Nancy Pelosi – I assume she will still be there – asking Congress to rescind the legislation that has restricted the Fed’s powers.”
Mervyn King, former governor, Bank of England
Sometimes, what is forgotten with forward guidance is that we are also speaking to households and businesses, to give them a sense of the general direction, some general orientation: be prepared, but do not overreact.
Mark Carney, governor, Bank of England
Financial intermediaries continue to exercise their privileged position, protected by licences, to determine where money comes from and where it goes to, so as to maximise their already disproportionately large profits and bonuses, paid for eventually by users of financial services
Joseph Yam, former chief executive, Hong Kong Monetary Authority
There’s this fear that domestic currencies are going to be totally undermined, so you might actually want to have some sort of central bank digital currency
Tobias Adrian, financial counsellor, IMF
It is only when you get to a relatively extreme situation, where your entire yield curve is very close to the effective lower bound, that targeting specific long-term yields makes sense
Eric Rosengren, president, Federal Reserve Bank of Boston
It is possible to take out some of the [populist] anger. But you really do have to have a good executive response. We will have to see how that works out.
Raghuram Rajan, former governor, Reserve Bank of India
China may do some things to reduce the trade imbalance with the US. But actually, the bilateral trade balance does not mean very much. We need to discuss the multilateral balance.
Zhou Xiaochuan, former governor, People’s Bank of China
Editor's choice
Some thoughts on CBDC operations in China
PBoC's Fan Yifei outlines why he favours indirect CBDC in China
Comment
‘Ostrich approach’ to financial stability is a mistake
Pricing the lives saved by coronavirus policies
Concentrated firepower: central banks must expand their arsenal
Our Take
Inflation targets back in the spotlight
Macroeconomics is not broken
Seven threats from big tech’s libra
ECB makes record sovereign bond purchases
East Asian economies face ‘profound’ impact from Covid-19 – World Bank
Central Bank of Colombia cuts rates and unveils liquidity support
Covid-19 macro effects could last 40 years – research
Flatter Phillips curve calls for average inflation targeting – Brookings paper
Riksbank to buy commercial paper and expand counterparties