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Monetary Policy

Is it too early to call an end to deflation?

ARTICLE - Prices have stopped falling and the balance of Bank of Japan banknotes circulating in the market is on a sharp rise. So is it too early to worry about the possibility of inflation asks the Yomiuri Shimbun newspaper on Monday.

Geneva meet to debate Islamic mortgages

UK - A Bank of England working party, which includes representatives of commercial banks and the Treasury, is investigating the wider introduction of Shari'ah compliant house mortgages in the UK, according to the UK's Observer newspaper.

Does a floating currency buy flexibility?

RESEARCH - ECB WORKING PAPER by Marcel Fratzscher, June 2002"The Euro bloc, the Dollar bloc and the Yen bloc: how much monetary policy independence can exchange rate flexibility buy in an interdependent world?"(ECB Working Paper No. 154), (pdf 416 kB).

ECB sounds the alarm

ECB - The prospect of fudging the EU stability pact, which stipulates a 3% budget deficit ceiling for national governments, drew criticism from ECB officials on Thursday.

Uruguay floats the peso

URUGUAY- The currency band system for the peso was brought to an abrupt end amid fears of contagion from the crisis in Argentina and market woes in Brazil. The central bank said there would be only limited intervention to prop up the currency.

Australian reserves on the up

AUSTRALIA - The Reserve Bank took advantage of the local dollar's strength against the greenback last month to sell a net $170 million in local currency on the spot market and add to its foreign exchange reserves.

Speech by Robert Parry, San Francisco Fed, 6 Jun

SPEECH - In the speech titled 'After the Recession: A Monetary Policymaker Looks Ahead' Parry said that once the expansion takes hold interest rates will have to move up to prevent a build up of inflationary pressures but that for now the approach can be…

Speech by K Persson of Sveriges Riksbank, 11 Jun

SPEECH - Persson said in a speech titled 'The economic situation in a monetary policy perspective' that Sweden's participation in the euro would have various advantages for the economy but acknowledged the disadvantage of a loss of self determination in…

A flawed independence

ARTICLE - Treasury interference could stop the Bank of England mitigating the effects of inflationary shocks, says Christopher Huhne in an article in Thursday's London edition of the Financial Times.

ECB Press Release

PRESS RELEASE - Schedules for the meetings of the Governing Council and the General Council of the ECB and the related press conferences in 2003, 20 June.

Vision not aggression says Polish c bank chief

POLAND - "There is no conflict between the Polish central bank and the government when it comes to real economic issues. What we see is the government's aggression against an independent state institution, something unheard of in the civilized world. In…

Effort made to bring Poland closer to eurozone

POLAND - The Finance Ministry and the Central Bank (NBP) have set up a joint group on the strategy of bringing the Polish economy closer to the Eurozone, which will discuss issues related to the zloty exchange rate strategy in the period of entering the…

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