Crunch set to have radical shift on reserve trends

Central bankers are acknowledging that the credit crunch is set to have a major impact on their reserve management policies.

Some leading central banks contacted recently by Central Bank News are giving serious consideration to the implications of the global credit crunch for their reserve management policies.

The dominant initial reaction to the crisis, as documented in Central Banking Publications' survey in RBS Reserve Management Trends 2008, was to emphasise that their investment policies

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