Central Banks
BIS sizes up derivatives reforms and Basel III progress
Bank for International Settlements releases one report on the expected benefits and costs of OTC derivative reforms, and another on countries’ progress in implementing Basel III
ECB research highlights Greenspan’s powers of persuasion
Researchers say Alan Greenspan was a ‘dominant’ chairman of the FOMC who frequently managed to convince regional Fed presidents to walk his own policy line
Mauritius governor urges African central banks to help small business
Speaking at the AACB's annual get-together, Rundheersing Bheenick calls for support of small businesses alongside traditional ‘pro-poor policies' such as price and currency stability
Lagarde tells central bankers not to 'rush to exit' on QE
Speaking at Jackson Hole, the head of the IMF said unconventional monetary policies were "still needed in all places it is being used" and that it was unclear what "exit" actually implied
Economists weigh Fed exit at Jackson Hole
Robert Hall warns against tightening policy too soon; Arvind Krishnamurthy lays out exit path that would see Fed selling its Treasury portfolio while maintaining its purchases of MBS
Central bank independence in the spotlight as Indonesia joins EM currency ‘panic'
Bank Indonesia joins central banks in Brazil, India and Turkey in taking unconventional steps to stem currency sell-off; concern emerging markets are targeting currencies over inflation
Sarb looks to rein in money market liquidity
South African Reserve Bank concerned that high levels of liquidity could threaten the monetary policy transmission mechanism; plans to drain excess cash over a number of years
Adia CFO bagged by Texas real estate company
Jim Hime leaves the Abu Dhabi SWF for USAA Real Estate on September 1 after serving three years as chief financial officer of its real estate and infrastructure department
Mauritius introduces polymer banknotes
The Bank of Mauritius joins an exclusive but growing group of central banks that is looking to plastic money to curtail counterfeiting
Norwegian paper explores financial stability trade-off
Working paper identifies trade-off between increasing rates to mitigate financial imbalances and lowering rates to reduce the risk of bank insolvency
Czech paper dissects central bank inflation reports
Researchers find the inflation reports produced by a sample of eight central banks are ‘generally of good quality’ but warn their analytical power cannot be taken for granted
Yellen must overcome deputies’ curse to take Fed chair
Fed vice-chair Janet Yellen will need to avoid joining Paul Tucker, Tiff Macklem, Karnit Flug and other discarded deputies to take the top job at the Fed as governments increasingly favour outsiders
Israeli banking supervisor floats full risk weights for mortgages
Draft guidance presented to Bank of Israel advisory committee yesterday would also force banks to limit the use of variable interest rates and do away with long-term loans
Fed contemplates change to forward guidance
Minutes from the FOMC’s July meeting show members were divided over the outlook for the US economy, and on the prospect of tinkering with the Fed’s forward guidance
Norges Bank deputy backs Bayesian econometrics in policy-making
Jan Qvigstad highlights how Bayesian econometrics have been used to develop two of the central bank’s ’most important’ forecasting tools
Riksbank deputy: Slowing Swedish growth to be buoyed by eurozone recovery
Kerstin af Jochnick says Riksbank will conduct flexible monetary policy accounting for growth in household debt until macro-prudential policy has been established
Central bank insider selected to run Russia's new ‘mega-regulator'
As head of the FMS, Sergey Shvetsov, a Bank of Russia deputy, will be in charge of ‘controlling, regulating and supervising' the country's financial markets from September 1
People: StanChart's new global RMB team; RBC hires Asian equities head from JPM
Carmen Ling quits Citi to head Standard Chartered's new global renminbi-focused team; RBC hires new head of Asian equities from JP Morgan in Hong Kong; and more
LCRs in low-liquidity settings lead to big externalities
RBA research paper suggests introducing a liquidity coverage ratio in certain settings leads to large liquidity premiums and pushes the risk-free rate to the floor of the interest rate corridor
Turkish central bank embarks on daily dollar sales
Announcement follows yesterday's decision to raise interest rates, but fails to stop lira hitting record low against Western currencies
Bundesbank’s Dombret urges co-ordination over shadow banking
Executive board member says shadow banking activities are 'not evil' but do produce systemic risks; highlights need to track banks’ exposures to shadow entities and manage ownership links