Financial Stability
Libya begins phasing out old banknotes
Banknotes depicting the late colonel Muammar Gaddafi being removed from circulation; new currency series on the way
Euro counterfeit banknote figure creeps up
Number of known fake euro banknotes hit 310,000 during in the second half of 2011, up 5% on the first half of the year
Pakistan forges ahead with mobile banking promotion
State Bank of Pakistan signs agreement with national telecommunication authority to further the development of mobile banking in the country
BoJ report warns of pause in economic activity
Bank of Japan’s Regional Economic Report for January 2012 shows signs that pace of economic growth is moderating
Duke favours more simple stress tests for smaller banks
Federal Reserve’s Elizabeth Duke says community banks can conduct general tests on bank loan portfolios to reduce cost burdens
CNB paper models domestic bank liquidity stress tests
Czech National Bank study shows the Czech banking system is resilient to stressed scenarios mimicking the 2008 and 2009 international liquidity crisis
EFSF rating in spotlight as speculation on eurozone downgrades emerges
Rumours that France and other eurozone sovereigns will lose AAA ratings spooks markets; move will place a question mark over European Financial Stability Facility's rating, say analysts
Gold and currency earnings secure profit for SNB
The Swiss National Bank expects to see annual profit of SFr13 billion ($13.6 billion); able to make the regular distribution to Cantons
RBI’s Sinha: Financial inclusion can be profitable for banks
Reserve Bank of India deputy governor Anand Sinha says universal financial inclusion is a prerequisite for inclusive growth with financial stability
Japan nervous of implications of Volcker rule
Bank of Japan releases letter sent to US officials outlining impact of changes to speculative trading controls; fears Japanese government bond market will be hit
RBI’s Padmanabhan flags issues with pricing of payment products
Reserve Bank of India executive director G Padmanabhan says recent intervention in pricing of electronic products in India was warranted
Bank of Lithuania sells majority share in CSD
Finnish company buys 60% share in CSD; central bank hopes new investor will progress the depository’s offerings and promote the Lithuanian capital market
FSB discusses plans for the year
Financial Stability Board covers 2012 work plan in latest meeting; considers extending Sifi framework to domestic banks and globally significant insurance companies
Kansas City Fed’s George discusses the mis-pricing of risk
Kansas City Federal Reserve president Esther George says policy-makers face difficult balancing act to boost the housing market and prevent misallocation of capital
IMF models new liquidity stress test framework
International Monetary Fund study creates new template to conduct balance sheet-based liquidity stress tests
Chinese government and central bank identify targets for progress
People’s Bank of China publishes outcome of government planning meeting; document reveals aims for variety of areas including monetary policy and systemic risk management
Bank of Canada survey forecasts weaker sales growth this year
Bank of Canada Business Outlook Winter Survey shows outlook for sales growth in 2012 turns negative as demand continues to weigh on firms’ expectations
Malaysia announces new coins’ circulation date
Bank Negara Malaysia announces new coins to enter circulation this month; new banknotes will not be released until the end of 2012
Counterparty risks distort insurance protection, says ECB paper
European Central Bank study shows that although hedging aims at sharing risk, it can also lead to risk-taking distortions due to the interplay of counterparty risks
Bundesbank paper captures dampening impact of bank lending
Bundesbank study shows one-third negative loan development during fallout of the financial crisis was due to purely bank-related factors
Lagarde expresses concerns ahead of crucial meeting with Hungary
Christine Lagarde stresses importance of Hungarian authorities' compliance with the European requirements ahead of key discussions over financial aid in Washington
Belgium’s Coene believes in commitment of eurozone countries
Governor of National Bank of Belgium says even if Greece were to leave single currency, other member states would draw together to "protect the system"
RBI’s Sharma urges businesses to hedge risks
Reserve Bank of India executive director VK Sharma says businesses in India must take appropriate measures to hedge their actual risk exposures
Financial cycles lead downturns, says Bank of Finland paper
Bank of Finland study says connection between financial variables and real activity is stronger during periods of recession