News
Dutch central bank move supports gold
NETHERLANDS - Jan Lamers of the Netherlands Bank is the first central banker to confirm that the volume of gold being lent to the market has started to decline.
Fed ends sanctions against Bank of New York
USA - The Federal Reserve has announced it is terminating its sanction against the Bank of New York because the bank has complied with its agreement to correct alleged deficiencies in preventing money laundering.
Breather won by Bank Indonesia on $1.3bn loans
INDONESIA - Bank Indonesia has reached a rescheduling agreement with the London Club of commercial creditors to extend the repayment period of loans worth around $300 million to 17.5 years, while other loans worth $1 billion will be extended for 10…
Reform of Taiwan cb board may improve independence
TAIWAN - Taiwan's cabinet has submitted a reform plan for the board of directors at the Central Bank of China, which focuses on the bank's independent status. Once the amendment is passed by the legislature, the central bank will maintain its supervisory…
BOK considers redenomination of currency
KOREA - The Bank of Korea is studying ways to reform the present currency unit system by issuing new won notes and coins, in a move to re-denominate the won downward and upgrade its value. This will involve shaving one or two zeros off the won's face…
Egypt cb opens new check clearing house
EGYPT - The new electronic Cairo Clearing House at the Central Bank of Egypt (CBE) was inaugurated yesterday. Its services will be available to banks nationwide and its computerized system will be capable of clearing up to 100,000 cheques a day.
UAE cb planning supervisory system for hawala
UAE - The Central Bank of the United Arab Emirates is devising a licencing and supervisory system for hawala and will host a conference next year to follow up recommendations of an international conference held last May.
African Development Bank - Annual Report 2000
ANNUAL REPORT - The African Development Bank Group's Annual Report for 2000 can now be accessed online.
Buying back long-dated bonds way forward for Japan
LETTER - Letter by Professor Tim Congdon published in the Financial Times on 10 June in response to an editorial by Sir Samuel Brittan, which in turn had commented on Prof Congdon's original article in Central Banking journal, 'What is to be done about…
Central banks should heed asset inflation
LETTER - Anthony H. Rowley, a contributor to Central Banking journal, argues in a letter published in the Financial Times on 10 June that central banks should pay more attention to asset inflation when conducting monetary policy.
Bureaucrats compete to replace RBI dep governor
INDIA - There is stiff competition to take the place of the outgoing deputy governor of the Reserve Bank of India (RBI), Dr Y. V. Reddy. According to the finance ministry, two senior bureaucrats are jockeying to control this key post which involves…
Commercial banker made dep chairman of Kazakh cb
KAZAKHSTAN - A new deputy chairman has been appointed to the National Bank of Kazakhstan. Anvar Saydenov, who is 41, was appointed by Kazakhstan's president, Nursultan Nazarbayev, on the recommendation of the central bank.
Iran's cb to issue bonds despite US sanctions
IRAN - The Central Bank of Iran still plans to issue its first international bond, according to its governor, Mohsen Nourbakhsh. This is despite the withdrawal of Iran's debt rating by Moody's.
Update, B of Israel's Monetary Program, 9 June
PRESS RELEASE - The Bank of Israel today announced an update of its monetary program for June 2002, according to which its interest rate will be raised by 1.5 percent to 7.1 percent. The change will go into effect on Tuesday, 11 June 2002. Thus, the…
Shekel gains slightly on dollar despite rate hike
ISRAEL - The shekel strengthened only slightly on the dollar Monday, despite the Bank of Israel's surprise announcement a day earlier of a sharp hike in interest rates.
Increased hope that Turkey soon out of recession
TURKEY - A much sharper than expected rise in industrial output in Turkey has raised hopes that the country could soon recover from a deep recession. Industrial output rose 14.1% in April from a year earlier, well above a growth rate of 7.8% as predicted…
Rouble to fall as cb's overnight deposit rate cut
RUSSIA - Despite the theme of continuity in exchange rate policy which was emphasized when Sergei Ignatyev took over as head of the Central Bank of Russia in place of Viktor Gerashchenko earlier this year, the bank has subsequently made moves which imply…
US inflation low says Fed nominee Donald Kohn
USA - Federal Reserve Board nominee Donald Kohn said on Thursday that US inflation was "pretty darn low" and that the economy was looking healthy: "we are getting awfully close to some zone of price stability if we are not probably already in it".
Argentina and IMF talks on loans to begin at last
USA - Argentina and the International Monetary Fund will begin talks next week on new loans to revive the economy. IMF spokesman Thomas Dawson remarked on Argentina's "substantial progress" in meeting conditions for the new talks, saying they "have been…
Blejer considers resignation after IMF agreement
ARGENTINA - Argentina's central bank president Mario Blejer is considering resigning once he designs a new monetary programme, implements a plan to convert deposits into bonds and helps obtain a loan from the International Monetary Fund, according to a…
Russia to crack down on bank supervision
RUSSIA - The Central Bank of Russia has vowed to put harsh new measures in place to crack down on supervision over Russia's banks. This move by the central bank, which has recently overhauled its leadership, may cause a large number of banks to shut down.
Japan enjoys strongest growth for two years
TOKYO - Japan's economy has at last emerged from recession, enjoying its strongest growth for two years. The economy has rebounded from three straight quarters of contraction, growing 1.4% in the first quarter, which is an annualised rate of 5.7%.
ECB keeps rate rise on hold as expected
GERMANY - The European Central Bank on Thursday left interest rates unchanged as expected since euro zone recovery remains limp as well as the euro's rally helping to stifle inflation. The ECB's key refinancing rate remains at 3.25 percent, unchanged…
Bundesbank to close 56 branches by 2007
GERMANY - The Deutsche Bundesbank has committed itself to cutting back on its operations which will involve shedding over 10% of its staff. It announced on Thursday that it would close down 56 of its smaller branches within the next five years, partly…