Financial Stability
Stark says contagion threat has been ‘overstated’
Former European Central Bank executive board member says risk of contagion in the eurozone has been “overstated” since the start of the financial crisis
Islamic Financial Services Board issues new guiding principles
New guidelines focus on liquidity risk management and stress testing for institutions offering Islamic financial services; new members added at latest meeting
Danish governor wants increased long-term financing for housing market
Nils Bernstein says longer-term refinancing options and greater use of two-tier mortgages would help stabilise the housing market in Denmark
IMF paper focuses on future of risk-weighted assets
International Monetary Fund working paper discusses the differing perceptions of risk-weighted assets and the measures that may remedy the imbalances in how these assets are perceived
Trinidad and Tobago governor calls for improved regional financial regulation
Ewart Williams believes the financial crisis should serve as a wake up call to the region; says increased legislation and supervision are needed
Israeli governor airs fears over impact of European slowdown
Stanley Fischer discusses European economic strife impact on Israeli growth prospects; expresses worries over possible methods for increasing defence budget
Eurogroup boosts emergency funding facility
European finance ministers agree to combine two emergency financing vehicles currently running simultaneously in the eurozone; also add €500 billion to lending capacity
Diverging views on US debt stimulate debate at NALM 2012
A difference of views emerged about the relative risks of US sovereign debt compared with alternatives during a panel discussion at NALM 2012 symposium on risk approaches in a post-crisis world
ECB’s Asmussen emphasises need for Greek reforms
Jörg Asmussen stresses importance of timely implementation of reform programme in Greece
BIS releases study on property markets and financial stability
Bank for International Settlements and Monetary Authority of Singapore discuss challenges to financial stability from property markets
Central Bank of Myanmar confirms currency float
Central bank announces managed currency float will commence next month; first public statement on exchange rate reform since military government left power last year
New Zealand proposes partial earlier adoption of Basel III capital requirements
New Zealand regulators have opted to bring in the capital conservation and countercyclical buffers ahead of the Basel Committee schedule – but market participants are unsure if this is necessary
Fed director cautious of ‘not fully known’ impacts of mobile banking
Sandra Braunstein testifies to US Senate on 'not fully known' ways the use of mobile devices can affect financial services
BoE’s Fisher calls for central banks to bulk up risk management capabilities
Paul Fisher explains benefits of central banks doing independent credit assessment when evaluating collateral; says risk management functions need to be ‘bigger’ in central banks
Interbank market ‘almost dead’ in Europe, says Banque de France’s Mongars
ECB operations are critical for European bank funding as the interbank market is all but broken, says NALM panellist
Norway research links income inequality and banking crises
Norges Bank working paper discusses role of income inequality in fermenting the financial crises in Norway in 1991-1992 and the US in 2008
IMF paper airs inflation fears for US monetary policy
IMF working paper finds continued loose monetary policy can only be maintained if inflation expectations are kept in check
Estonian governor calls for eurozone co-operation
Lipstok says eurozone member states must work together to ensure a sustainable economic recovery
RBA warns banks against chasing ‘unrealistic profit’
Reserve Bank of Australia’s latest Financial Stability Review cautions banks not to increase risk-taking by chasing ‘unrealistic profit expectations'
Bernanke commends global co-operation for stemming ‘meltdown’
Fed chairman says Fed and international policy actions prevented economic “meltdown”; says some areas of co-operation need improvement
IMF research finds exchange rate variations affect exports
International Monetary Fund study of renminbi fluctuations finds that variance in exchange rate impacts on exports of neighbouring developing economies
Bangladesh governor lauds role of microfinance in economy
Expanding microfinance sector contributes to domestic demand and poverty reduction, says Bangladesh Bank governor
Fed's Duke calls for focus on community projects in US
Elizabeth Duke highlights benefit to financial sector of engaging in community regeneration projects
Markets start to price in QE3 following Bernanke speech
Equity prices rise and dollar eases as markets interpret Federal Reserve chairman’s comments as signalling increased likelihood of further quantitative easing