Monetary Policy
BIS paper analyses demographic influence on money supply
Bank for International Settlements research examines impact of baby boomers on inflation; predicts trouble ahead for central banks
Central Bank of Chile minutes reveal rate consensus
Minutes of the August monetary policy meeting show unanimity behind decision to leave interest rate unchanged; members discuss keeping the rate level for 'some time'
RBA holds rate as global growth softens
Stable inflation, close to target domestic growth and 'subdued' international economic picture lead Reserve Bank of Australia board to leave benchmark rate at 3.5%
BIS chief advocates deeper policy cooperation
Jaime Caruana calls on central banks to consider international implications of domestic monetary policy; says segmenting markets does not make sense
National Bank of Serbia reports on ‘dinarisation’ strategy
Quarterly report gives overview of National Bank of Serbia’s efforts to encourage use of dinar; finds that local currency as a share of total lending and deposits fell in the second quarter
Bernanke disappoints markets by revealing little about QE3
Ben Bernanke’s Jackson Hole speech gets muted response from markets; gives no clear indication of whether third round of quantitative easing is forthcoming
Bank of Thailand governor explains changed policy stance
Prasarn Trairatvorakul says increases in interest rate were put on hold following floods and eurozone uncertainty; warns rates could go either way
ECB’s Cœuré highlights information content of inflation-linked securities
Benoît Cœuré outlines use of inflation-linked financial products as indicators of inflation expectations; says information content is useful but methods require further study
Central Bank of Brazil cuts rates as uncertainty persists
Monetary policy committee votes unanimously for 50-basis-point rate cut; further reductions remain a possibility
Single Asian currency not on the agenda, says Bank of Thailand chief
Bank of Thailand governor Prasarn Trairatvorakul rules out likelihood of Asia moving towards a common currency, but says renminbi may become dominant currency
Draghi rallies German public to support eurozone reforms
President of the ECB says “exceptional measures” may be required to ensure price stability; reaffirms commitment to independence and acting within mandate
BIS research analyses unconventional policies
Bank for International Settlements study examines unconventional policies employed during recession periods; compares the effects with other monetary tools
Iceland surveys market economic expectations
Central Bank of Iceland survey finds changes in inflation expectations; also a shift in the market’s perception of monetary policy
Mohanty says India must play catch-up
Reserve Bank of India executive director calls for efforts to recapture India’s pre-crisis growth rate; lays out income target and challenges
National Bank of Hungary cuts rates despite high inflation
Central bank cuts policy rate amid worsening growth figures and weak outlook; however, inflation expected to remain above 3% target “over a sustained period”
Draghi pulls out of Jackson Hole speech
President of the ECB stays in Europe on account of his “heavy workload”; statement comes shortly before plans for single banking supervision mechanism announced for eurozone
Japan’s Nishimura says UK Funding for Lending scheme needs time to work
Kiyohiko Nishimura discusses unorthodox policies central banks have been turning to; believes the BoE’s Funding for Lending scheme will take a long time to have “concrete benefits”
Bank of Thailand's Prasarn Trairatvorakul on the central bank's 70th anniversary
On the eve of its 70-year anniversary, Bank of Thailand’s governor, Prasarn Trairatvorakul, talks to Blair Baker about the central bank’s emerging role in domestic, regional and global economics
The puzzle of monetary policy
The centrepiece of macroeconomic management, inflation targeting by central banks, remains virtually unchallenged despite the crisis of the past five years. This needs to change, argues John Gieve
Where the BIS falls short
Robert Pringle compares the analysis and policy recommendations offered by the BIS in its latest annual report with those in his new book, The Money Trap
The beginning of the end for renminbi internationalisation?
The People’s Bank of China has surprised market watchers by taking critical steps to liberalise the renminbi and interest rate policy in the country
Keeping sight of the real inflation target
The appropriate construction of CPI indexes is vital to maintain public confidence in inflation targets. Jill Leyland points out issues in current index construction
Can Japan afford to grow?
Japan has managed to maintain living standards during its two ‘lost decades’, but its efforts to do so now represent obstacles to achieving sustainable growth. By Ryo Watabe.
Central Bank of Chile paper tests inflation forecast models
Working paper compares inflation forecast accuracy of new autoregressive model and “traditional” univariate models; finds improvement in short run but mixed results over longer horizon