Monetary Policy
Forward guidance loses power when rates rise, RBI research finds
Tool is useful at lower bound but is much less effective during normal conditions, paper argues
Monetary Policy Benchmarks 2023 – executive summary
Key findings of the 2023 benchmark, including policy tools, governance structures and operating frameworks
Turkish central bank raises rates by less than expected
MPC increases rates by 250 basis points but analysts had expected much larger rise
Stronger US dollar hits emerging countries more, says IMF
Credible monetary policy frameworks are key to cushion external shocks, report argues
Russian central bank raises rates and warns of more to come
Nabiullina says inflationary pressures are rising and warns of effects of bigger fiscal deficit
Sarb pauses rate rises in split decision
MPC votes 3–2 to hold rates at 8.25% after inflation falls within target range
Book notes: Forks in the road, by C Rangarajan
A memoir by one of India’s most distinguished governors, who presided over critical policy issues such as the 1990s’ balance-of-payments crisis
Nagel calls on German government to tighten fiscal stance
Public spending needs to fall to lower inflation, says Bundesbank president
Brazilian central bank denies censoring board members
Dispute highlights possible political divisions as president Lula appoints officials
PBoC steps up support for yuan
Chinese central bank eases limit on firms’ overseas borrowing and keeps key rates unchanged
Monetary Policy Benchmarks 2023 report – navigating uncertainty
Benchmark data highlights ongoing evolution in policy frameworks as central banks move beyond the pandemic – and into the high-inflation period
ECB needs to maintain tight policy, says IMF
Policy rates, rather than quantitative tightening, should be main tool, IMF directors say
Guillermo Avellán on BCE independence, capacity-building and dollarisation
Central Bank of Ecuador general manager speaks about the need to bolster the central bank’s legal autonomy, dollarisation challenges, payments developments and monetising local gold production
IMF grants Burundi $271 million loan
Burundi must liberalise currency regime, end central bank financing and tighten policy
German inflation to fall again from September, says Bundesbank
One-off effects boosted inflation from 6.3% in May to 6.8% in June
ECCB launches new website
Updated site accompanies “virtual museum” on Eastern Caribbean Central Bank
BoJ announces details of monetary policy review
Central bank plans to engage with experts, business leaders and public over policy framework
PBoC holds key rate amid lacklustre GDP growth
Chinese economy grew 6.3% in second quarter, missing expectations by a full percentage point
Bank of Canada raises rates despite falling inflation
Governor warns progress towards price stability “could stall”
ECB’s monetary policy is taking effect rapidly, says Lane
But chief economist warns tighter financing conditions could cause eurozone contraction
South Korea’s central bank holds rates steady again
Governor says board agreed restrictive policy should continue for a considerable time
Advanced economies more likely to publish minutes
Average central bank publishes minutes around two weeks after a policy decision
Senad Softić on governance, currency boards and EU convergence challenges
Central Bank of Bosnia and Herzegovina governor speaks about improving governance in a political vacuum, managing a currency board amid rip-sawing euro rates, resolving Gazprom’s local units, modernising payments and meeting EU convergence criteria
Bank of Canada raises rates 25bp
Central bank now predicts inflation will return to its 2% target in mid-2025