Operating framework
Reserve Bank of Australia governor backs 2–3% target in final address
Moving the target could open the door to further changes down the line, warns Stevens
Colombian central bank should examine transmission in greater detail – paper
Colombian banks with higher levels of solvency “less sensitive” to changes in interest rate, authors say
Nepal to introduce interest corridor in August
There will be an initial large ‘wedge’ between rates when first introduced, official says
‘Still some flaws’ in transmission mechanism – Icelandic report
Yield curve still "virtually flat" despite capital flow measures
Bank of Tokyo abandons JGB primary dealer role
Bank of Tokyo-Mitsubishi UFJ steps back from role citing “business optimisation”
RBNZ bulletin shines light on policy-making process
Article digs into nine-day process of deliberation and communication
Orphanides: governments should rein in ‘immense power’ of central banks
Central banks can dramatically influence the distribution of wealth, economist argues
Balance sheet policy matters for credibility – Norges Bank paper
Researcher argues a central bank’s financial strength may affect its ability to meet its mandate
Rate delay could deprive Fed of tools in future, warns Mester
Cleveland Fed president warns public could deem unconventional tools “ultimately ineffective”
Bhutan readies to sharpen ‘blunt’ policy instruments
Royal Monetary Authority of Bhutan considering improvements to monetary policy transmission
Reserve Bank of Malawi to improve monetary policy architecture
Bank moves towards fully fledged inflation targeting, embracing interest rate-based framework
Rajan has left his mark but risk of fiscal dominance remains
Vishrut Kansal argues more safeguards are needed if the RBI is to avoid fiscal dominance
PBoC governor sets out challenges of pursuing multiple objectives
Zhou Xiaochuan discusses how the PBoC expresses its multiple objectives as a function that can be optimised
National Reserve Bank of Tonga considering short-term policy rate, IMF says
Staff encourage Tonga to reform its monetary policy framework
Jamaican authorities send mixed messages on adoption of inflation targeting
Authorities say more time needed to investigate whether inflation targeting is suitable
IMF paper explores transmission of volatility along yield curve
Authors see differences depending on progress towards inflation targeting
Kuroda says policy rules deserve further research
"Incomplete contract theory" could be important in building a set of rules
Sri Lanka targets new inflation framework under reform programme
Authorities will take steps towards inflation targeting over the coming years
Prospective eurozone members fail to meet convergence criteria, ECB says
ECB reports greater convergence on economic indicators among seven countries
IMF staff urge oil-reliant countries to strengthen liquidity frameworks
Low oil prices likely to harm liquidity, raising the need for improved facilities and forecasting, the report says; risk of a delayed surge in non-performing loans
Kocherlakota: Fed should talk openly about negative rates
Former Minneapolis Fed president advocates talking about policy options in a recession ahead of time
Strong anti-inflationary monetary policy helps mitigate uncertainty shocks, Italian paper says
Paper sees a Taylor rule as useful for mitigating uncertainty-driven recessions
Iceland expands policy framework with capital flow tool
Central bank imposes reserve requirements on capital inflows
Central Bank of Argentina raises reserve requirements
Argentina raises reserve requirements as it continues to fight high inflation