Financial Stability
Brazil changes law to allow QE amid chaotic response to virus
Finance minister says central bank will “shower” country with liquidity if needed
BIS paper: twin financial cycles can ‘turbocharge’ crashes
Policy-makers should differentiate between domestic and global cycles, authors say
Hong Kong’s Exchange Fund reports record loss in first quarter
State fund’s assets lose $11 billion and investment chief warns of further losses
New York Fed paper finds possible failings in US pandemic aid
Research on programme says some heavily virus-affected areas may be losing out
HKMA sets up inter-agency group for green finance
New initiative aims to co-ordinate regulation as ADB says Asia has huge green finance needs
Book notes: In the combat zone of finance, by Svein Harald Øygard
Fascinating and readable book for those charged with maintaining financial stability
German court rules ECB must provide more evidence on PSPP
Judges strongly criticise ECJ’s ruling on QE programme, but stop short of declaring it unlawful
Dominican Republic governor opposes ‘inadmissible’ pension proposal
Allowing workers to withdraw savings could create long-term crisis, Héctor Valdez Albizu warns
Fed could purchase $750 billion of corporate debt in new facilities
Fed clears staff to purchase investment- and non-investment-grade debt and ETFs
Covid-19: a hacker’s opportunity
What can central banks do to plug cyber threat weaknesses?
IMF extends Article IV consultations as it steps up aid efforts
Nine more countries receive IMF aid as demand continues at “unprecedented” levels
Payment giants ask EBA for PSD2 extension
Covid-19 disruption puts strong customer authentication deadline in doubt
Lebanese PM asks for IMF aid as dispute with central bank grows
Governor at centre of massive economic crisis appears to condemn PM’s words as “slander”
Carbon tax spike could spur global recession – S&P
Higher carbon prices would trigger widespread industry defaults, says agency research unit
Basel Committee ‘stock take’ highlights progress on climate risks
Members are conducting research and issuing guidance
Nigeria gets $3.4 billion IMF support
IMF calls for more donor support but warns over possible misuse of aid
RBNZ lifts mortgage lending restrictions for one year
New Zealand's central bank says latest crisis move will not weaken financial resilience
Tighter supervision improves bank performance – NY Fed paper
Researchers examine performance of heavily and lightly regulated banks from 1991 to 2014
Individual German banks at risk from interbank shocks, paper finds
Bundesbank paper presents simulation method for analysing interbank markets
ECB publishes framework for assessing prudential spillovers
Detailed paper aims to help regulators assess cross-border effects of macro-prudential policies
World Bank pays out after triggering pandemic bonds
Requirements for funding release were met on March 31
BdF paper looks at household vulnerability
High levels of household debt magnify negative shocks and weaken positive ones, researchers find
Bank of Russia cuts policy rate as oil and pandemic crises deepen
Elvira Nabiullina says central bank may cut again as it forecasts major recession in 2020
RBI steps in with liquidity line for mutual funds
Injection of $6.6 billion comes as Franklin Templeton shuts down six funds