Central Banks
Bhutanese central bank warns of external imbalances
Royal Monetary Authority of Bhutan monetary policy statement outlines threats to currency peg; says long-run solution requires strengthening of macroeconomic fundamentals
RBI paper suggests alternative to Basel capital buffer
Working paper considers applicability of using debt-to-GDP ratio as guide to capital buffer; argues India requires a different method to assess capital requirements
Sarb launches Ponzi scheme awareness campaign
Central bank warns public of Ponzi scheme risks; says it investigates a number of illegal operations each year
‘Branchless’ banking increasing in Pakistan
So-called 'branchless banking' transactions grew 23% between January and March this year; accounts linked to mobile phones reached over 1 million during the period
Poland finalises Swiss currency swap agreement to protect banking sector
National Bank of Poland signs 'precautionary' currency swap deal with Swiss National Bank; in place to deal with liquidity pressures surrounding financing in Swiss francs
Sweden joins opposition to European banking union
Swedish government opposes European banking union proposals; Czech National Bank also expresses concerns
Reserve Bank of New Zealand examines bank funding
Quarterly bulletin article considers relationship between official cash rate and cost of bank funding; finds funding costs relative to the OCR changed following financial crisis
IMF paper studies emerging market debt restructuring
Policy paper reviews causes and consequences of emerging market sovereign debt restructurings; identifies certain elements that can make process less painful
RBI executive director weighs financial stability objective
Deepak Mohanty considers financial stability as part of a central bank’s mandate; emphasises importance but says price stability should not be subordinated
Malta quarterly review presents mixed outlook
Quarterly review reports weak but improving economic activity; calls for government action to reduce debt and pursue structural reforms
Libor manipulation lawsuits could cost banks ‘tens of billions’
Barclays' $450m settlement gives lawyers smoking gun evidence of attempts to tamper with benchmark rates
Outgoing World Bank president reveals next roles
Robert Zoellick says he will join Belfer Center for Science and International Affairs at Harvard University and the Peterson Institute for International Economics on leaving the World Bank
Latest amendments to Hungarian central bank law appease IMF
Hungarian government publishes letter from Christine Lagarde which gives controversial law the go ahead; says IMF is ready to begin talks about financial aid once law is passed
Governor of Central Bank of Tunisia fired: reports
Governor to be relieved of duties following economic policy dispute; Mustapha Kamel Nabli has been chief since the revolution in Tunisia
MAS agrees establishment of office in China
Monetary Authority of Singapore will open a representative office in Beijing after settling on a deal with the People’s Bank of China; third overseas office for MAS
Namibia offers reward to catch head of counterfeiter ring
Central bank announces reward for information leading to the arrest of “main culprit” responsible for counterfeit notes found recently; fake notes discovered just days after new currency launch
IMF paper examines crisis indicators
Working paper assesses the effectiveness of various indicators in predicting financial crises; finds that leverage is ineffective and instead use of poor quality collateral is “critical link”
New Zealand central bank publishes statement of intent
Statement emphasises commitment to price stability as “primary goal”; highlights need to adapt to macroeconomic environment in setting monetary and macro-prudential policy
Australia’s Debelle defends rate cuts
RBA assistant governor says central bank’s rate cuts will have an effect; argues housing market is stronger than many critics believe
Bank of Canada paper models repo market collapse
Working paper develops model of repo markets to explain causes of collapse; finds that central bank intervention can help prevent problems
Malaysia’s Zeti considers economic challenges facing Asia
Zeti Akhtar Aziz examines impact of global spillovers on Asian countries; says greater regional cohesiveness and co-operation have boosted region’s potential to overcome difficulties