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Fed offers more support to world's biggest insurer
The Federal Reserve has loaned American International Group (AIG), the world's biggest insurer, an additional $37.8 billion, taking the size of beleaguered company's borrowing facility with the central bank up to $122.8 billion.
SNB's Hildebrand and Italy's Saccomanni on crisis
The crisis has shown central bankers and regulators rightly predicted that highly-leveraged institutions presented a threat to stability. But officials' attentions were directed at the wrong type of institution, admitted Philipp Hildebrand, a governor of…
Paulson hints at possible bank recapitalisation
Hank Paulson, the US Treasury secretary, has indicated that America is likely to attempt to recapitalise its ailing banks.
Asia makes rate cut 'truly global'
China cut rates for the second time in as many months on Wednesday, supporting the joint action by six of the most important central banks to loosen policy. A host of other Asian central banks have also replicated the Federal Reserve-led move.
Iceland nationalises biggest bank, halts trading
The Icelandic authorities on Thursday took control of Kaupthing, the country's biggest bank, and halted trading in all shares listed in Reykjavik.
IMF's Lipsky: regulatory change needed
All systemic US financial intermediaries should be put under one single regulator, said John Lipsky, the first deputy managing director of the International Monetary Fund.
Schumpeter superior to Smith
Schumpeter's creative destruction is better for understanding the nature of the US economy than Smith's invisible hand and perfect competition, according to new research from the Philadelphia Federal Reserve.
Loan surveys predict well future investment
The Bank of Canada's senior loan officer survey results provide useful information about future investment and the availability of business credit, finds a new research paper from the central bank.
Without proper incentives we are doomed
The financial system cannot survive in anything like its present form if bankers continue to make profits and taxpayers assume the losses. Yet that is the trend, certainly in the United States with its ill-advised Paulson bailout, and increasingly in…
HKMA cuts discount rate by full percentage point
The Hong Kong Monetary Authority (HKMA) on Wednesday cut the rate at which it lends to banks through its discount window by 100 basis points.
Riksbank pumps Skr5 billion into Icelandic bank
The Riksbank on Wednesday agreed to prop up Kaupthing, Iceland's largest lender, with a Skr5 billion ($700m) loan, on fears the bank's liquidity problems threatened the stability of the Swedish financial system.
Spain sets up €50 billion rescue fund
Madrid on Tuesday said it would establish a rescue fund to buy high-quality assets from its banking industry, hampered by a downturn in the country's housing market and the global turmoil.
Britain bails out banks
The British authorities on Wednesday pledged to spend up to £50 billion ($86 billion) in taxpayer funds to recapitalise its beleaguered banking industry, shares in which have plummeted in recent days.
Global central banks cut as system teeters
Six central banks have taken the unprecedented step of cutting rates by half a point in unison in an attempt to avert a global financial-market meltdown.
High commodity prices and the Canadian dollar
A new paper from the Bank of Canada examines the impact of the recent surge in energy and non-energy commodity prices on the loonie.
Brazil's Meirelles: corporate governance challenge
Setting high standards of corporate governance is trickier in Brazil than in more mature economies, said Henrique Meirelles, the governor of the Central Bank of Brazil.
Slovakia's Sramko: euro brings development
Accepting the euro as the national currency will allow Slovakia to stabilise its economic development, said Ivan Sramko, the governor of the National Bank of Slovakia.
ECB - eurozone economy weakening
Under pressure from high commodity prices, lower consumer confidence and demand, as well as dampened investment growth, the euro-area economy is weakening, says the European Central Bank (ECB) in its September Monthly Bulletin.
Australia slashes rates by 100 basis points
The Reserve Bank of Australia shocked markets on Tuesday, opting to cut its key rate by a full percentage point to 6%, the steepest margin since 1992.
Iceland nationalises second-largest bank
The crisis in the Icelandic financial system deepened on Tuesday as the authorities took control of Landsbanki, the country's second-largest lender, and pegged the ailing krona to the euro.
Central banks pledge more dollars
Central banks around the world unveiled a fresh round of dollar auctions on Tuesday, aimed at tiding the banking system over the year-end period when money-market tensions tend to heighten.
Fed to accept commercial paper for funds
The Federal Reserve on Tuesday adopted a new strategy to placate financial market tensions, saying that it would swap funds for unsecured commercial paper direct from the issuer.
IMF wants global action, warns of risk of meltdown
The International Monetary Fund (IMF) has urged policymakers around the world to step up efforts to tackle the rapid deterioration of the global financial system.
Financial instability hurts corporate
Financial stability is connected to corporate investment and deterioration in the health of the financial sector can restrain macroeconomic performance, finds a new study from the Federal Reserve.