Central Banks
Bank of Israel expects 0.4% inflation for 2014
Low rates prompted by flagging domestic demand, appreciation of the shekel and low inflation environment worldwide, bank says in monetary policy report
Bank of Zambia holds interest rate as inflation stabilises
First MPC meeting of new quarterly schedule sees no change in policy; bumper maize harvest and a stabilising exchange rate credited with lowering inflation
Bundesbank economists propose indicator for price competitiveness
Working paper published by the European Central Bank develops new indicator for international price competitiveness in an attempt to provide a tool for policy analysis
Raghuram Rajan on the dangers of asset prices, policy spillovers and finance in India
Raghuram Rajan, governor of the Reserve Bank of India, speaks about the challenges facing emerging market central banks, spillovers and getting to know India’s new prime minister Narendra Modi.
RBI’s Rajan warns of possible asset price collapse; euro ‘too strong’
Financial sector imbalances could cause sudden price reversals and sharp spikes in volatility, risks many macroeconomists are still blind to, says Reserve Bank of India governor Raghuram Rajan
Japan's ageing population will have deflationary effects, IMF paper finds
Deflationary effect will hit other advanced economies too, but can be countered through monetary policy and structural reforms, IMF economists write
Shrinking BoJ balance sheet will take longer post-QQE than in 2006
Economist says unwinding the BoJ’s asset purchases will take longer when QQE finishes than it did at the end of QE in 2006, because this time it is buying bonds with longer maturities
ECB paper quantifies OMT benefits
OMT announcements depressed Italian and Spanish two-year government bond yields by roughly 200 basis points, but left their French and German equivalents ‘largely unaffected’
UK rates set to stay low, says former MPC member Wadhwani
The cost of tightening too late is far lower than that of choking the recovery, says former monetary policy-maker Sushil Wadhwani
Rajan: ‘Let’s fight the anti-inflation fight once’
Raghuram Rajan says risks to inflation target have become ‘more balanced’ in recent months, but stresses the need to remain ‘vigilant’ as RBI holds key rate at 8%
BoE appoints UBS UK head to top banking regulator
Bank of England appoints two new members to the Prudential Regulation Authority, the country’s chief micro-prudential regulator
BoE’s Haldane sees greater role for central banks as risks shift
Central banks may have to address different episodes of financial instability as risks shift from the banking sector to other financial players, says BoE chief economist Andrew Haldane
Two future paths for central banking
Andrew Haldane identifies two future worlds for central banks along with their implications for monetary policy, macro-prudential regulation, operations and transparency.
Chan says Hong Kong has nothing to fear from further mainland liberalisation
Competition from Shanghai 'not a zero sum game' says HKMA head; rather, further internationalisation of the renminbi will create a 'bigger pie'
Banque de France's Le Lorier says good communication can ‘substitute' for rate decisions
First deputy says comms can complement decisions in non-crisis times by revealing variables that inform monetary policy; argues monetary and macro-pru mandates can be reconciled
Bank of Portugal splits failed bank BES in 'clean’ resolution
Portuguese central bank splits troubled lender Banco Espírito Santo into good and bad bank as part of a €4.9 billion rescue
ECB economists find ‘considerable heterogeneity’ in impact of crisis
Researchers say that while borrowers ‘benefited’ from low interest rates, debt burdens increased for poor households as their incomes fell