Central Banks
Emerging markets will 'suffer' as QE ends, say panellists
Guillermo Calvo, Vittorio Corbo and Maurice Obstfeld say emerging markets face a bumpy landing when Fed winds down QE, and some are better prepared than others
Bank of England points to growing concern over low rates
Market participants say the risks surrounding low interest rates are now the third biggest cause for concern in the UK financial system, behind sovereign risk and the prospect of an economic downturn
Belgian paper warns central bank policies could worsen financial shocks
Working paper studies optimal monetary policy configurations for price and financial stability in Eastern Europe; finds central banks may worsen credit shocks by taking action against them
Has the global financial crisis dented central bank independence?
Grace Koshie looks at the post-crisis role of central banks, examining issues of fiscal dominance and weaker policy freedom in an increasingly inter-connected world demanding ever-greater transparency
Central bankers face tough monetary policy dilemmas
Central bankers around the world need to rethink their approaches to monetary policy
OECD’s William White fears global economic system is still highly unstable
William White tells Christopher Jeffery he is wary of placing too much reliance on the ‘science’ of monetary or regulatory policy. He also believes the world economic system is still out of balance
Monetary policy is the incorrect tool to curb asset bubbles
There is no evidence the use of monetary policy in Sweden to keep household debt in check actually works. Such a policy only undermines employment and results in the Riksbank breaching its mandate
Kazakhstan’s integration of alternative assets into its reserves management
Resource-rich Kazakhstan has embraced alternatives through the creation of a new fund to drive returns and improve diversification of its foreign reserves. Yeszhan Birtanov reports
Developing countries focused on financial inclusion are reshaping central banking
Efforts in developing and emerging economies to promote financial inclusion for the world’s 2.5 billion unbanked population offer lessons to their developed world peers
Crisis showed need for ‘more and better' stats, says IMF
Forum on improving statistics held in Washington in the same week as Myanmar joined the GDDS initiative; Argentina remains in the doghouse over inadequate GDP and inflation data
BoE economists build model to assess CCP backstop
Bank of England financial stability paper presents a ‘top-down’ statistical model for assessing the risk CCPs are exposed to, and the likely adequacy of their default resources
Moody's says big US banks no longer ‘too big to fail'
Agency cuts ratings of four systemically important US banks, including Goldman Sachs and JP Morgan, as Dodd-Frank believed to reduce prospects of future government bailouts
Central Bank of Aruba 2012 annual report highlights drop in inflation
Average annual inflation in the Caribbean territory dropped from 4.4% in 2011 to 0.6% last year; says international reserves 'remained adequate'
Irish central bank to track 'hostile' social media comments
The Central Bank of Ireland is looking for an online platform that will keep tabs on the general public’s social media conversations and flag up consumer complaints
ECB's Mersch touts securitisation of SME loans as way of boosting EU economy
Executive board member says second priority after assessing banks' balance sheets is to support lending to SMEs by strengthening capital markets
Banks respond differently to capital target deviations, ECB paper shows
Working paper finds banks tend to reshuffle risk-weighted assets or increase holdings when above Tier I ratio, but more inclined to increase equity levels when below target
Riksbank policy-makers differ 'fundamentally' on role of central bank, says deputy governor
Sveriges Riksbank deputy says policy approach is marginally beneficial at best and risks undermining 'public confidence' in central bank's targeting of inflation
Bank of Spain deputy on what banking union will mean for national lenders
Spanish banking system will not face more complex challenges than those posed in other jurisdictions, says Fernando Restroy; capital levels for sector as a whole will be above 10% by year's end
Yellen defends QE in congressional confirmation hearing
Prospective Fed chair says asset purchases have had ‘meaningful' impact on financial wellbeing of normal Americans; hints at further banking regulations ‘down the line'
Reserve managers diversifying due to rise in risk, not a search for return, say CBP panellists
Central bank reserve managers are moving into new assets due to concerns about rising risks in traditional currencies, rather than in a search for yield, say Central Banking On Air panellists