Financial Stability
ECB report urges progress on Sepa card payments migration
European Central Bank study says considerable effort is still needed to achieve an integrated European market for card payments
Macro-stress tests not suitable as early warning systems, says BIS paper
Bank for International Settlements study says macro-stress tests are ineffective tools for identifying vulnerabilities in the financial sector during tranquil times, and could even mislead supervisors
Haldane calls for radical rethink of accounting rules
Bank of England financial stability executive director Andrew Haldane says departure form fair-value accounting principles necessary to prevent pro-cyclical behaviour of asset prices
Risk managers complain about Fed stress test workload
Twelve new banks are included in this year's US stress test, and some institutions are unhappy about the extra work
IMF plans to raise $500 billion in new funds
Fund executive directors say doubling of lending resources will shore up emergency facility and aid indebted nations
Japan to support EFSF bonds as S&P strips AAA rating
The Japanese government will continue to support bonds issued by the EFSF despite Standard & Poor’s stripping them of their AAA rating; Junker says no indication other rating agencies will follow
Fed paper models financial stress index
US Federal Reserve study discusses several factors that should be considered when building financial stress indexes
RBI’s Chakrabarty discusses limitations of crisis management frameworks
Reserve Bank of India deputy governor KC Chakrabarty says policy-makers will need to anticipate future crises by taking pre-emptive action
European banks still exposed to US dollar funding risks, ESRB warns
European Systemic Risk Board issues recommendations to prevent build up in US dollar funding and liquidity risk; calls for single entity to be responsible for national macro-prudential policy
IMF paper proposes new toolkit to monitor fiscal vulnerabilities
Fund study builds new toolkit to assess fiscal risks in advanced economies; framework contributes to IMF-Financial Stability Board Early Warning Exercise
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