News
Russian reserve requirements cut to 0.5%
The Central Bank of Russia on Tuesday slashed its reserve requirements to 0.5%, a move which analysts say could add $2.7 billion-worth of liquidity into the system.
US offers $250bn in capital, markets shrug
Washington's unveiling of a $250 billion plan to recapitalise its banking sector did little to soothe equity-market sentiment on Tuesday, with gains at the opening bell proving short-lived.
Fannie, Freddie debt fears could have sparked run
Central bankers' fears over the collapse of Fannie Mae and Freddie Mac threatened to lead to sales of US agency debt, the scale of which could have sparked a run, the US regulator responsible for the two government-sponsored enterprises (GSEs) has said.
HKMA steps up stability efforts
The Hong Kong Monetary Authority (HKMA) on Tuesday stepped up its efforts to enhance financial stability, issuing a blanket guarantee for customer deposits and offering to re-capitalise its banks.
Asian central banks act on liquidity shortages
Signs of heightening liquidity tensions in Asia emerged on Tuesday, with the Reserve Bank of India adding Rs20,000 crore ($4.16 billion) to its banking system and Bank Indonesia implementing measures to ease stress in foreign-currency markets. Bank…
Canada, Japan outline responses to G7 plan
Canada and Japan, the industrialised countries least affected by the current turmoil, on Tuesday announced their responses to the G7 plan.
US bailout to include "significant" equity stake
The US Treasury is likely to spend a very significant amount of the $700 billion at its disposal on recapitalising the US's battered banking sector, an official who will oversee the Troubled Asset Relief Plan (TARP) told an audience in London on Monday.
Markets rally on global bailout
Equity markets bounced on Monday on signs that coordinated action taken over the weekend had helped soothe investor sentiment.
Britain re-capitalises banks, warns on bonuses
British authorities on Monday warned banks to review their compensation structures after pledging up to £37 billion ($64 billion) to re-capitalise some of the country's largest banks.
Australia, NZ guarantee all deposits
Australia and New Zealand became the latest countries to guarantee all deposits over the weekend.
EU agrees to re-capitalise banks
European Union (EU) officials on Sunday agreed to follow Britain's lead in pledging to inject sufficient capital into the region's battered banks.
Markets plunge, interbank rates rise despite cut
The unprecedented half-point coordinated rate cut by six of the most powerful central banks on Wednesday has done little to abate the panic in global equity and interbank markets.
DSK proposes "action plan" for crunch
Dominique Strauss-Kahn, the managing director of the International Monetary Fund (IMF), on Friday urged governments to guarantee retail, interbank and money-market deposits.
India slashes reserve ratio by 150 basis points
The Reserve Bank of India on Friday lowered its reserve requirement ratio by 150 basis points in a bid to ease liquidity tensions brought on by the global turmoil.
Icelanders protest outside central bank
Icelanders have staged a protest outside the country's central bank reportedly calling for the resignation of the governor, David Oddsson.
IMF should monitor stability: Riksbank's Ingves
Stefan Ingves, the governor of the Riksbank, called for the International Monetary Fund (IMF) to be given a greater role in promoting financial stability.
BoJ minutes reveal thinking behind dollar funding
The minutes of the Bank of Japan's Monetary Policy Meeting on 18 September reveal discussions that led to the central bank introducing dollar fund-supplying operations against pooled collateral as a temporary measure.
Iceland nationalises biggest bank, halts trading
The Icelandic authorities on Thursday took control of Kaupthing, the country's biggest bank, and halted trading in all shares listed in Reykjavik.
Asia makes rate cut 'truly global'
China cut rates for the second time in as many months on Wednesday, supporting the joint action by six of the most important central banks to loosen policy. A host of other Asian central banks have also replicated the Federal Reserve-led move.
Paulson hints at possible bank recapitalisation
Hank Paulson, the US Treasury secretary, has indicated that America is likely to attempt to recapitalise its ailing banks.
SNB's Hildebrand and Italy's Saccomanni on crisis
The crisis has shown central bankers and regulators rightly predicted that highly-leveraged institutions presented a threat to stability. But officials' attentions were directed at the wrong type of institution, admitted Philipp Hildebrand, a governor of…
Fed offers more support to world's biggest insurer
The Federal Reserve has loaned American International Group (AIG), the world's biggest insurer, an additional $37.8 billion, taking the size of beleaguered company's borrowing facility with the central bank up to $122.8 billion.
Global central banks cut as system teeters
Six central banks have taken the unprecedented step of cutting rates by half a point in unison in an attempt to avert a global financial-market meltdown.
Britain bails out banks
The British authorities on Wednesday pledged to spend up to £50 billion ($86 billion) in taxpayer funds to recapitalise its beleaguered banking industry, shares in which have plummeted in recent days.