News
Snap election spells headache for BoJ
Shinzo Abe calls snap election to bolster support for delaying a planned tax hike, but the move has implications for the Bank of Japan’s quantitative easing programme
Eurasian central bank cooperation taken up a notch
Armenia and Kyrgyzstan attend ‘advisory council’ on foreign exchange policy for first time; meeting held in wake of Bank of Russia’s decision to let the ruble float
UK bank reforms may be ‘diluted’, warns parliamentary commission
Former members of the Parliamentary Commission on Banking Standards warn regulations are at risk of being misinterpreted, diluted by lobbying, or applied incorrectly
Bank Indonesia raises interest rates in ad hoc meeting after fuel price rise
In an unexpected meeting, the Bank of Indonesia decided to raise the interest rate to 7.75% to tackle inflation, after the government raised fuel prices by more than 30%
Mauritian governor predicts banking overhaul by 2035
Rundheersing Bheenick sees mobile technology taking centre stage in years to come and banks reducing staff as a result; describes inequality as a ‘time bomb’ facing the economy
Draghi says sovereign bond-buying is on the table and under scrutiny
ECB staff preparing plans for various unconventional policies, with sovereign bond-buying very much under consideration, president says; dismisses concerns that low rates defer government action
G-20 summit delivers agreement on TLAC
Leaders approve standard for total loss-absorbing capacity, but consensus on cross-border cooperation remains hazy; Carney looks ahead to next phase of reforms
Praet: Covered bond supply ‘dynamised’ by ECB purchases
European Central Bank executive board member Peter Praet identified ‘a number of supply side reactions’ to covered bond purchases, which hit €10.5 billion last week
BoE to challenge orthodoxy with research ‘revolution’
More combative approach to Bank of England’s research will see economists challenge orthodoxy – including the central bank’s own policies – as often as they support it, says Andrew Haldane
RBA strikes clearing deal with PBoC
Australian authorities agree clearing arrangements and RQFII quota with Chinese counterparts; announced in wake of G-20 summit and follows similar Canadian deals
Argentina enjoys a rare period of ‘currency peace’
Peso sees a recovery in the black market after the central bank cracks down; economists suggest a boost in dollar reserves is the main reason for the appreciation
G-20 Brisbane Summit: What to look for
Leaders of the G-20 countries meet this weekend to try to thrash out a deal on financial stability, growth and employment; Central Banking looks at some of the main issues on the table
Bank of Portugal looks set to audit banks' conduct
Central bank is expected to focus on banks’ governance models during the exercises, in an effort to prevent the issues associated with BES from resurfacing elsewhere
Dallas Fed president Richard Fisher to step down March 19
Fisher is the second recent dissenter on the FOMC to leave in less than two months; Was required by law to step down before April 30
Serbian central bank cuts key rate with inflation stuck below target
National Bank of Serbia ‘trims’ key rate to 8% with inflation hovering around 2%; also lowers foreign exchange reserve requirements in an effort to get banks lending
French first deputy defends real estate picture
Anne Le Lorier says French banks are ‘well-guarded’ against any real estate downturn; accepts the authorities must improve data on commercial property
Lautenschläger highlights ‘unbelievable heterogeneity' in eurozone housing markets
ECB board member also has ‘Christmas wish list' with instruments that will complete eurozone's macro-prudential toolkit
IMF finds Mexico well-placed to weather capital market volatility
Mexico should be able to ‘weather’ a rise in volatility, says the IMF, since the country has a healthy buffer of international reserves and ‘deep and liquid’ financial markets
Dudley says Federal Reserve could do more to be a ‘better global steward'
Permanent FOMC member suggests dollar's reserve currency status sets the US central bank apart; warns Fed funds rate hike likely to spark ‘market turbulence'
Carney dismisses call for helicopter money
Bank of England governor says he ‘cannot envisage any circumstance’ where direct central bank financing of government debt would be justified – but some central banks may already be doing it
Central Bank of Costa Rica should not have a growth target, says IMF
Costa Rican authorities should 'resist pressures to expand the central bank’s mandate' to include growth, according to IMF; general manager agrees
Carney: Inflation ‘likely’ to drop below 1%
Bank of England signals rates firmly on hold into 2015 as probability rises of inflation falling below 1% in the short run; real wage growth likely to accelerate over the year
Poll: Central bankers favour clampdown on bitcoin
Latest Central Banking poll shows most central bankers favour regulating or banning virtual currencies, despite most institutions so far just issuing warnings or advice
FSB says ‘substantial’ work needed on resolution regimes
Financial Stability Board monitoring exercise finds that only four jurisdictions have resolution regimes in line with its Key Attributes; India among those lagging behind on legislative amendments