Monetary Policy
Rajan sets out ‘idealistic' vision for international monetary policy co-ordination
RBI governor would in an 'ideal world' establish an impartial arbiter of unconventional monetary policy; Lagarde says global welfare benefits should be quantified
Paul Krugman calls for higher inflation targets at ECB Forum
US academic ruffles feathers at conference in Portugal by arguing that higher inflation targets are more desirable now than they were a decade ago; Ottmar Issing disagrees
Policy-makers wary of ‘hurdles’ to ABS revitalisation
Central bankers and academics agree SMEs need greater access to credit, but dispute whether or not reviving the ABS market in Europe is the right course of action
Draghi flags up eurozone credit constraints
The ECB could help boost lending to SMEs through LTROs if credit supply fails to keep pace with credit demand, Mario Draghi tells Portugal conference
ECB launches new central banking forum
The European Central Bank will open its first forum on central banking in Portugal on Sunday, where 150 central bankers, government officials and academics will debate current policy issues
Jamaica governor expects IMF money in June
Brian Wynter says country is performing well under EFF programme; notes 'continued favourable outlook' for inflation but 'elevated' expectations mean stance remains 'conservative'
Open economy helps Chile brush aside Fed taper, says CBC's Vial
Sound macro-economic principles, an independent central bank and fiscal discipline rules help Chile to ride effects of Fed taper; China slowdown is a bigger risk
Iceland changes monetary policy framework as capital controls set to be lifted
The central bank's overhaul of key instruments in anticipation of balance sheet reduction and lifting of capital controls signals start of policy normalisation six years after crisis
FOMC mulls further tweaks to forward guidance
Committee member floats the idea of replacing inflation target with a price level target to make up for years of undershooting 2% inflation
Turkish rate cut baffles markets as inflation heads for double figures
Turkey's central bank cut rates today despite inflation of almost double the target level; deputy governor tells CentralBanking.com the focus must return to price stability
Bank of England minutes reveal 'variety of views' on monetary policy path
Emphasise 'gradual and cautious' move on interest rates, though 'for some members' the monetary policy decision is becoming 'more balanced'
New York's Dudley advocates BoE approach to QE exit
New York Fed's William Dudley wants to get off zero lower bound before ending reinvestments in QE assets, the approach favoured by the Bank of England's Mark Carney
Croatian National Bank knows best on FX policy, IMF finds
Croatia's central bank stuck up for its exchange rate policy in Article IV discussions with the IMF, which conceded the bank knew best on a range of issues
Governors launch East African Payments System
East African Community presents new market infrastructure and plans to boost currency convertibility; Kenyan governor sets out monetary policy priorities for the region
Bank of Tanzania praised for ‘skilfully’ lowering inflation
The IMF praises Tanzania authorities for generating ‘rapid’ growth while clamping down on inflation and encouraging development of sovereign wealth fund
QE for infrastructure investment could be ECB's alternative to ‘pushing on a string'
As the ECB continues to struggle to boost lending in the eurozone periphery, a leading Greek academic is proposing it channels QE through the European Investment Bank
Lithuania may squeeze past eurozone’s asymmetric convergence criteria
The asymmetric nature of the EU’s convergence criteria means that Lithuania, with 0.6% average annual inflation, may only scrape into the eurozone next year
Monetary policy shock hits Norway house prices hard
Meanwhile, impact on household credit is muted, according to Norges Bank working paper; adds findings are consistent with small quarterly refinancing rate of mortgage stock
Kuroda: rising inflation expectations feeding into wages
Tightening labour market conditions and higher inflation expectations are both serving to increase wages, Kuroda tells Tokyo audience
Carney says UK's 3% growth is not ‘escape velocity'
Bank of England governor suggests rates likely to remain at current levels for another year or until recovery is underpinned by productivity pick-up and real wage growth
Central banks must grasp opportunity to shrink balance sheets safely
Central bank purchases of government bonds have turned traditional dogma on its head - but dangers lurk in the unwinding, warns Philip Turner
Tombini rejects ‘generalised vulnerability’ of EMs
Brazilian governor dismisses notion that exchange rate depreciation in wake of Fed taper is associated with an ‘inevitable, looming’ external payments crisis in emerging market economies
ECB’s Mersch defiant on OMTs
Yves Mersch tells an audience in Berlin the ECB would be willing to buy government bonds in the secondary market before the European Court of Justice’s ruling on OMTs
ECB paper finds press conferences have ‘gained in importance’
European researchers find the president’s press conferences have become a more important communication tool since the financial crisis