Central Banks
People: US Senate confirms CFPB head
Israel adds new member to MPC; Swiss deputy governor will undergo heart surgery
BIS paper outlines model of managed floats
Framework captures financial frictions while being simpler than other models, authors say
Bank of Israel again holds rate steady
But MPC signals it is ready to end QE programme if economic recovery continues
MAS says it is ‘examining’ allegations against local firm
Pandora Papers report alleges MAS was concerned by firm’s handling of Russian clients
Uruguayan central bank makes second rate increase in a row
Central bank aims to end “expansive” monetary policy and guide inflation to target range
Covid-19 has accelerated paradoxical developments in cash usage
Antti Heinonen explores the unusual patterns in banknote demand in 2020 and draws lessons for the future
Financial Stability Benchmarks 2021 report – keeping the sector secure
Benchmark exercise presents responses on AML/CFT, cyber, macro-prudential and other risks
CPMI and Iosco say systemic stablecoins must meet FMI principles
Stablecoins perform similar functions to other financial market infrastructures, say bodies
Evergrande tests China’s commitment to deleveraging
Chinese officials are having to choose between near-term growth and long-term economic health
Romania orders first rate increase in more than three years
Central bank adds 25 basis points as energy prices bite, while Moldova continues tightening
Greater competition cut US banks’ ‘insider lending’ – BdF paper
Researchers quantify bank owners’ and executives’ loans to themselves and their interests
Iceland tightens policy to tame inflation
Inflation rose to 4.4% in September, above the central bank’s 2.5% target
Iran appoints third governor this year
Ali Salehabadi joins central bank three months after predecessor took office
RBNZ begins monetary tightening with 25bp hike
Central bank is confident inflation will return to target, but says growth will be “volatile”
Most respondents externally accountable on financial stability
All responding central banks said they publish a financial stability report at least once a year
Financial stability powers are sufficient, say most central banks
Two African central banks say they urgently need more powers over financial sector
Fed asks watchdog to review controversial trading
Move follows resignation of Boston and Dallas heads, as Warren asks for SEC probe
SSM reduced large eurozone banks’ risk-taking – ECB paper
Reduced credit risk was driven by supranational authority’s greater efficiency, authors argue
BSP calls for criminalisation of ‘extreme’ coin hoarding
Philippines central bank proposal comes as police seize hoard of 50 million pesos worth of pennies
BoE report sheds light on Covid market operations
Surge in scale and frequency of operations amid switch to work from home created “issues”
PBoC governor says China does not need QE
Yi Gang says China has space to carry on with conventional monetary policy