
Japan's Shirakawa on cross-border collateral
A new framework for central banks' operations where domestic currency is supplied against foreign-currency-denominated collateral should be considered in the near future, said Masaaki Shirakawa, the governor of the Bank of Japan.
Shirakawa said that this measure may contribute to the efficient mobilisation of collateral widely dispersed around the globe, especially in emergencies. The governor also highlighted the importance central banks' banking activities in general, such as the provision of
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