Articles by Central Banking staff
Wide range of financial stability arrangements among central banks
Boards are prime financial stability decision-making body at many participants
Banks resolved in almost half of jurisdictions surveyed
Jurisdictions with more bank resolutions had higher NPL levels, benchmark exercise finds
Stress tests key for financial stability – Benchmarks participants
Most Benchmarks participants conduct stress tests more than once a year, but methods vary
Cyber security exercises useful, say benchmark participants
Over half of participants simulate cyber attacks – a quarter do so more than once a year
Monetary Policy Benchmarks 2021 report – executive summary
Insights into the staff that work on monetary policy, decision-making, tools, transparency and market operations
Cyber attacks rising, most benchmark institutions say
Financial sector hacking attacks rose in past two years
NPLs down in nearly 70% of jurisdictions, despite Covid-19
Lower income nations hit harder than most during past five years; Asia, Africa and Americas NPLs on different trajectory to Europe
Most central banks cannot bring criminal charges against banks
But 87.5% of institutions report they can refer these charges to other public institutions
Central banks set monetary policy around eight times a year
African central banks reported setting monetary policy less frequently than peers
Central banks split on blackout periods
Reasons for operating blackout periods include facilitating effective policy transmission and avoiding speculation
Press conferences tend to be held for every monetary policy decision
The events can be a valuable tool for policy transparency and clarity
In-depth reports less frequent than monetary policy meetings
Over 80% of central banks set monetary policy without always publishing in-depth reports
Central banks divided on publishing policy meeting minutes
Central banks in advanced economies more likely to publish minutes
Policy-maker votes largely kept secret
Most central banks do not reveal how individual monetary policy-makers vote
Payments Benchmarks 2021 report – executive summary
Insights into staffing, mandates, oversight and RTGS management
Governance Benchmarks 2021 – presentation
Central Banking’s governance subject matter specialist Dan Hardie speaks with Christopher Jeffery about policy committees, governor salaries and terms, and board compositions and functions
Policy-makers and staff often determine headline forecasts
Joint approach may help conquer systemic bias
Majority of central banks do not take account of forecast errors
Surveys of inflationary expectations used widely, alongside macroeconomic and market indicators
Majority of central banks have power to issue debt for monetary purposes
Central banks pointed to draining liquidity as a reason for issuing debt
FX market intervention key tool for emerging market economies
Central bank markets departments perform a wide range of different roles
Communications Benchmarks 2021 – presentation
Central Banking’s communications subject matter specialist Daniel Hinge speaks with Christopher Jeffery about communications staffing and salaries, effective approaches and favoured channels
Asset purchase programmes prevalent among advanced economies
But just 17% of emerging market economies said they operate a purchase programme
Majority of central banks use corridors to set market rates
A handful use floors due to unconventional policy, and some use other methods