News
South Africa bids to cool economy with 50bp rise
The South African Reserve Bank looked to dampen rampant inflation by hiking rates by half a percentage point for the third time since July.
Japanese lawmakers want $100 billion SWF
Japanese politicians from the ruling Liberal Democratic Party want to start a $100 billion sovereign wealth fund in order to improve returns on foreign exchange reserves.
UK moves to encourage SWF investment
The British authorities on Tuesday launched a charm offensive in a bid to coax sovereign wealth funds to invest in UK business.
Australia holds rates at 6.75%
The Reserve Bank of Australia's rate-setting board voted on Wednesday to leave its benchmark cash rate at 6.75%, an 11-year high.
Nigeria combats inflation with 50bp hike
The Central Bank of Nigeria's rate-setting board voted on Tuesday to raise rates by half a percentage point to 9.5% in a bid to fight inflation.
Interest rates set to climb in China in 2008
The People's Bank of China said on Wednesday that it would step up its fight against inflation by implementing tighter monetary policy controls and utilising other monetary tools in 2008.
Thailand holds rates despite rising inflation
The Bank of Thailand's rate-setting board voted on Tuesday to keep its benchmark one-day repurchase rate at 3.25% in spite of signs that inflation is beginning to accelerate.
Canada surprises markets with quarter-point cut
The Bank of Canada's rate-setting board voted unexpectedly on Tuesday to cut its benchmark overnight rate by 25 basis points to 4.25%.
We were transparent enough, say bankers
Investors were given all the information they required on structured products, a group of senior figures at top investment and commercial banks told UK lawmakers on Tuesday.
UK regulator warns on worsening liquidity risk
Mortgage lenders must protect themselves against the "very real prospect" that liquidity conditions will worsen in 2008, Clive Briault, the retail managing director at the Financial Services Authority (FSA), Britain's banking regulator, said on Tuesday.
De Gregorio set to become Chilean governor
Jose de Gregorio, the deputy governor of the Central Bank of Chile will take over from Vittorio Corbio as governor of the central bank later this week, Michelle Bachelet, Chile's president, announced on Monday.
New Zealand to webcast monetary policy statements
The Reserve Bank of New Zealand is set to webcast the news conference that will follow this Thursday's rate decision.
Central banks failing to calm interbank markets
Interbank borrowing costs in the sterling, euro and dollar money markets shot up on Monday in spite of attempts by central bankers last week to alleviate end-of-year jitters.
Injections pose no moral hazard risk: ECB member
In spite of the Bank of England's claims to the contrary, moral hazard should not be an issue in deciding whether or not to inject extra funds into the money markets, a member of the European Central Bank's (ECB) executive board said on Monday.
Chavez defeat allows central bank some freedom
The Central Bank of Venezuela will not face further limits on its autonomy for now after Hugo Chavez, Venezuela's president, was narrowly defeated in a referendum on constitutional change.
Trichet pushes for regulatory convergence
Progress towards more consistent EU banking rules and cross-border information sharing is absolutely critical, Jean-Claude Trichet, the president of the European Central Bank, said on Monday.
Kazakhstan raises rates by 200 basis points
The National Bank of Kazakhstan's rate-setting board voted on Friday to hike its benchmark official refinancing rate by two percentage points to 11%.
Bernanke keeps door open for rate cut
The Fed chairman's concern over the effects of renewed turmoil in financial markets lent weight to expectations of a rate cut in December.
ECB makes new bid to calm end-of-year fears
The European Central Bank (ECB) responded to panic in the interbank markets on Friday by pledging to lend over longer periods.
SARB policies here to stay regardless of Zuma
Tito Mboweni, the governor of the South African Reserve Bank, moved to assure markets on Thursday night that inflation targeting would remain whether or not the South African presidency changed hands.
Pre-crunch poll supports Basel II stability claim
The introduction of the Basel II regulatory framework, which has faced a barrage of criticism in the wake of the credit crunch, will make the financial system sounder and encourage better risk management, according to a poll conducted the Professional…
Norway's oil fund avoids FX after recent losses
The Bank of Norway said it would not buy foreign exchange for its sovereign wealth fund, the Government Pension Fund, in December. The announcement follows news that Nkr104.4 billion ($18.9 billion) was knocked off the value of the fund, a store of the…
Old Lady changes tack and steps in with £10bn
The Bank of England said on Thursday that it would lend an extra £10 billion ($20.7 billion) at its benchmark bank rate to allay fears that interbank borrowing costs will shoot up over December.
UK's King gloomy on economic conundrum
Mervyn King, the governor of the Bank of England, said on Thursday that the economic outlook is "uncomfortable" because the problems of the credit crisis are now coupled with burgeoning inflationary pressures.