Financial Stability
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
US default rates could hit 8.1% without policy action – Richmond Fed
Loan forbearance policies could see this drop to “essentially zero” in 2021, researchers say
Ukraine central bank cuts policy rate sharply
NBU says failure to agree IMF deal is main risk, as bank administrators sue oligarch
BIS paper flags ‘barren patches’ in post-crisis reforms
Reforms have boosted “shock-absorbing capacity” but some problems persist, authors say
Joining banking union likely positive for Sweden – Riksbank
Banks’ large cross border activities mean common supervisory and resolution mechanisms are better than national equivalents
Fed to expand paycheck liquidity facility after criticism
Some observers say Paycheck Protection Program not reaching most affected firms
Economic impact of Covid-19 to last until at least 2021
Difficult to predict how control measures will impact economy, epidemiologist says
ECB changes collateral rules in effort to shield bank funding
Assets below investment grade will be accepted by ECB as collateral until September 2021
IMF launches new dollar emergency liquidity facility
Facility could fill “critical gap” left by central bank dollar swap lines, senior IMF official says
Banks’ ‘geographic complexity’ raises some risks and cuts others – BIS paper
Global reach has complex effect on banks’ risk profiles, authors find
Lebanese central bank tries to stem currency crisis
Central bank unfreezes dollar accounts at sharply reduced rate as future of banking sector is unclear
IMF announces four more major aid packages
Haiti receives half of IMF funding quota while Moldova, Bolivia and Côte d’Ivoire get 100%
FSB consults on cyber attack ‘response and recovery’
“Efficient and effective response” is critical to minimising the financial stability impact, report says
MAS lends support to SMEs through new programme
Ravi Menon says banks are expected to make loans to small businesses at a lower cost
‘Step up to the plate’, New Zealand regulators tell banks
Council of regulators expects banks to deliver lending and affordable customer products
BoE and ECB weigh calls to follow US lead on capital relief
European regulators face pressure to exempt sovereign exposures from the leverage ratio
Global carbon taxes are coming: central banks must prepare
The next financial crisis could be a green one. Are central banks doing enough to prepare?
Fed paper examines drivers of US leverage
Economic growth can be major influence even without loose monetary policy, researchers say
Bank of Korea expands lending in new emergency measure
Bank of Korea will lend to insurers and brokers as well as banks in bid to avoid funding squeeze
Book notes: Crisis spaces, by Costis Hadjimichalis
“Don’t buy this book, unless you are a dedicated Marxist”
IMF’s new credit line will fill “critical gap” – Georgieva
Short term liquidity line will grant member countries up to 145% of their quota
Podcast: adapting economic education for demographics and fintech
St Louis Fed’s Mary Suiter discusses the reserve bank’s new programme for Native American economic education