Official Record
Bank of Botswana laments productivity ‘constraint’
Central bank recommends range of policies to address low productivity in Botswana, including educational reform, financial inclusion and more efficient public service provision
National Bank of Slovakia hails significant new responsibilities in 2014
Annual report highlights broad changes to its key activities, as the central bank took on new staff to cope with expanded supervisory role
Minutes show RBA could still ease further
Board members feel the decision to drop guidance that further easing ‘may be appropriate’ does not limit the ‘scope’ for them to cut rates further
Iceland prepares to hike rates despite low inflation
Expectations of ‘very large’ pay increases combined with flat productivity and strong demand growth prompt MPC to signal a coming hike, despite inflation at 0% when house prices are stripped out
Riksbank minutes reveal instability fears
Board members were unanimously in favour of further easing but ‘several’ voiced concerns about financial stability risks resulting from the expansionary policy
Plosser lays out four principles of sound central banking
Former president publishes a reflective essay in Philadelphia Fed’s annual report for 2014; advocates clear objectives, systematic rules, open communication and stable independence
Romania slashes inflation forecast with VAT cut on horizon
Latest forecast has inflation falling to 0.2% at the end of the year, before rising to 1.9% a year later; Central bank cut key rate by 25bp earlier this week
‘Climate of greater optimism’ prevails in Spain
Financial stability report identifies many signs the economy has turned a corner and financial markets are beginning to recover, although credit to the private sector continues to fall
Legal assistance cost Bank of Portugal €2 million in 2014
Bank of Portugal reveals €2 million cost of legal assistance with its intervention in BES, an act it describes as ‘an unprecedented effort to safeguard financial stability’
Longer-term inflation expectations pick up in eurozone
In its latest economic bulletin the European Central Bank shows how some measures of expectations, including the five-year inflation-linked swap rate five years ahead, are recovering
Bank of Portugal initiated administrative proceedings against 25 banks in 2014
Bank of Portugal also concluded 27 administrative offence proceedings during last year, applying fines worth around €0.5 million
Singapore inflation to ease before rising at end of 2015
CPI inflation could be negative on a year-on-year basis for consecutive months, which MAS says reflects ‘falling car prices, housing rentals, and costs of oil-related items’
Bank of Finland shuffles board responsibilities
Under new set-up, Erkki Liikanen is responsible for monetary policy preparation, domestic economic policy, financial market issues and external communications
Cross-border claims end upward rise, BIS data shows
Latest international banking statistics show global cross-border claims in slight decline after three consecutive quarters on the rise; claims on non-banks rise strongly however
‘Severe’ risks around lifting capital controls, Icelandic report warns
Financial stability report highlights need for careful preparation before capital controls can be lifted; governor says most expected capital movements have been ‘well mapped out’
Growth in banknote circulation drops in Namibia after ATM mandate
Annual report shows central bank mandated banks to re-calibrate their ATMs to better balance the dispense of banknotes to the market, lowering the rate of banknote issuance
Research department split at Central Bank of Malta
Annual report reveals separation of economic forecasts and quantitative research into separate departments, as governor looks to boost capacity
Bank of Canada sees 'front-loaded' oil price effects
Latest monetary policy report estimates Canadian economy was stagnant in first quarter as negative effects from lower oil prices hit earlier than expected; forecasts rebound in coming months
BoE’s FPC flags climate change financial stability risks
Financial policy committee divides issue into physical risks and transitional risks, seeing some potential for instability from climate change but calling for further research
Riksbank sees payments challenges ahead
Annual report notes growing interest in digital forms of payment is leading to declining income from seigniorage; new banknote series to enter circulation in 2015
Counterfeiting rate ‘extremely low’ for Canadian polymer notes
Bank of Canada’s polymer series now comprises 75% of the banknotes in circulation, and is subject to a counterfeiting rate of just 0.56 parts per million
Central Bank of Iceland hails successful year
Annual report for 2014 shows inflation fell, central bank introduced prudential measures in preparation for capital account liberalisation, and profits returned to positive figures
SNB plans renminbi purchases in 2015
Central bank plans to add renminbi bonds to reserves after signing swap agreement with the People’s Bank of China in 2014; annual report reveals return of 8% across currency reserves
Danish annual report highlights move into equities
National Bank of Denmark implemented new investment strategy in 2014, adding riskier assets including equities and lower-rated government bonds to reserves