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ECB chief warns on need to keep pact
Wim Duisenberg told EU finance ministers Wednesday night that the EU stability and growth pact could unravel if Governments changed the rules of the fiscal framework, BizWorld reported. "I acknowledge that these are not easy times, that conditions are…
ECB criticises 'unsustainable' US economy
ECB chief economist Otmar Issing has singled out the US tactic of "artificially stimulating the economy by large budget deficits and inflationary monetary policy" as "no viable option", EUpolitix reported.
Central bank official: China to keep RMB stable
Mu Huaipeng, deputy director of the People's Bank of China's currency policy department said Thursday that China will continue to adopt a sound monetary policy in order to maintain the stability of the renminbi, a report from Xinhuanet said.
U.S. economy can stand up to terror-Fed's Broaddus
Richmond Federal Reserve Bank President Alfred Broaddus said on 30 October the Sept. 11 attacks did little long-term damage to the U.S. economy, Reuters reported.
IMF backs Australia's economy
Australia's economy has been praised by the International Monetary Fund (IMF), which predicted continued strong economic growth on the back of a sound fiscal and monetary strategy, NineMSN reported.
Polish monetary policy council backs government
Poland's Monetary Policy Council has taken a rare position, according to Interfax, of directly supporting the government's plan for administrative and welfare spending restraint, calling it "right and very necessary".
Central Bank of Iraq to establish stock exchange
The Central Bank of Iraq has decided to establish a stock exchange that would operate on a daily basis instead of three times a week as proposed previously, MENAFN reported.
Greenspan on the payments system in transition
In the speech 'The payments system in transition' given on 29 October Alan Greenspan of the Federal Reserve said in the area of electronic payments, there will be a variety of views on the development of services, designs, and infrastructure for the next…
Riksbank's Persson on the impact of the euro
In the speech 'The impact of the euro' given on 29 October Kristina Persson of the Sveriges Riksbank said China in the short term should retain its fixed exchange rate until such time as its financial system has undergone more substantial reform, which…
Broaddus on 9/11 and US economic security
In the speech 'Attack at the Economic Heart of America: What 9/11 Taught the United States about Its Economic Security' given on 29 October J. Alfred Broaddus of the Federal Reserve Bank of Richmond said in addition to what it can do to manage a…
ECB's Duisenberg speaks at special ECOFIN dinner
At a special ECOFIN dinner to pay tribute to his leadership on 29 October Wim Duisenberg of the ECB said the challenges for EMU over the next five years are every bit as great as those already faced. I am fortunate enough not to have to deal with them,…
SNB's Roth urges swift economic reforms
Swiss National Bank chief Jean-Pierre Roth has called on politicians to solve Switzerland's economic problems and promote growth. He said the only thing the central bank could do to support recovery was to use monetary policy to encourage growth while…
Greenspan praises electronic checks bill
Speaking on Wednesday 29 October Alan Greenspan praised legislation passed by Congress and signed into law by President Bush on Tuesday that allows banks to clear checks electronically, potentially slashing paperwork. The law will let banks approve…
Norges Bank keeps interest rates unchanged
The Norwegian crown steadied near earlier three-week highs against the euro on Wednesday after the Norwegian central bank's Executive Board meeting left rates unchanged and said it continued its neutral outlook for interest rates.
Dodge corrects Greenspan growth forecast statement
David Dodge has corrected a misstatement he made on Tuesday 28 October regarding US growth forecasts of 6 percent that he unintentionally attributed to Alan Greenspan. In a press release Wednesday the Bank of Canada said Dodge "unintentionally attributed…
Fed again vows to hold interest rates
In a unanimous vote the Federal Reserve's FOMC held US interest rates steady at its Tuesday 28 October meeting. The Fed cited the remote threat of deflation and said low rates will remain "for a considerable period." A report from Associated Press said…
RBNZ can veto bosses in biggest ever bank merger
The RBNZ cleared New Zealand's biggest ever commercial deal, the takeover of the National Bank by ANZ, but added the condition that it could veto senior appointments of directors or senior management. It is the first time new prudential banking…
Jarai says euro would boost Hungarian economy
The president of Hungary's central bank has warned that the government must exercise control over its fiscal and economic policy if Hungary is to achieve sustained economic growth. Zsigmond Jarai told a press conference: "The adoption of the euro in 2008…
Chile's central bank rules out forex intervention
The central bank of Chile said Tuesday it would not attempt to slow the appreciation of the peso. Board member Jose de Gregorio told reporters, Reuters said, that the Bank intervenes in exceptional cases but we are far from that situation.
Report says Bundesbank to cut 5,000 jobs
The Bundesbank is set to cut its workforce by up to a third a report in German financial daily Boersen-Zeitung said. A Bundesbank spokesman insisted that no decision had been made yet, however, the AFP news agency reported.
Fed says c banks cut holdings of US Treasuries
Foreign central banks were aggressive sellers of US Treasury debt, dumping $11.54 billion-worth over the week to $793.69 billion. In contrast they were buyers of agency debt, expanding their holdings by $4.61 billion to $199.56 billion, according to…
China to issue coins to commemorate Olympic games
The People's Bank of China is to issue a set of commemorative coins to mark the Olympic Games, which is to be held in Beijing in 2008, Xinhuanet reported.
Statement by Federal Reserve after FOMC meeting
The Federal Reserve said in a statement released 28 October that its main reason for maintaining the federal funds rate at 1 percent was because "the risk of inflation becoming undesirably low remains the predominant concern for the foreseeable future".
Ferguson takes oath for second term at Fed
Roger Ferguson was sworn in for a second four year term as Vice Chairman of the Federal Reserve on 28 October. Chairman Alan Greenspan administered the oath in his office.