Africa
Average central bank equity allocations at 11.9%
Despite higher volatility, high income central banks increase their investments in equities
Asset diversification and staff training main goals for external contracts
All non-high income central banks aim to offer training to staff, high income jurisdictions focused on diversification and market intelligence
Most central banks expect sanctions on Russia to have a long-term effect
Trend is weaker in Europe than in the Americas, Asia-Pacific and Africa
Over 90% of central banks trim duration as protection against inflation
Fewer institutions increased US Treasuries (18.75%), reduced exposure to unconventional assets (6.25%)
Four African central banks take policy decisions
Morocco and BEAC increase rates and Tanzania reduces liquidity while Angola cuts policy rate
Central banks’ coverage ratio drops by 23%
Reserves buffers to cover monthly imports decline to 6.9 months
Staff salaries at reserves departments increased 17.6% from last year
Total staff numbers declined by 10% to 27
More central banks expand existing liquidity swap lines
More than 23% of participating countries gained access to IMF facilities over past year
Share of central banks screening ESG risks declines slightly
Central banks in Europe in top slot for including ESG criteria on their benchmarks
Central banks divided on how Russia sanctions will hit reserve currencies
Non-European central banks more likely to expect a growing role for renminbi in reserves portfolios
Most central banks will not alter diversification due to high inflation
Over 63% of central banks do not plan changes, almost 27% are discussing modifications, and close to 10% have already implemented them or plan to do it
Boards remain key body in benchmarking approval
In almost 60% of central banks the board makes final decision, investment committee in 29%
More central banks engage in gold lending and swaps
Securities lending is more common among central banks from high income jurisdictions
Over 18% of central banks adopted new reserves assets last year
Middle income jurisdictions led the trend, 28.6% diversified their asset allocation
Emerging markets central banks maintain lead in portfolio tranching
European institutions are less likely to implement this strategy
Morocco’s Jouahri on inflation, forex reform, digitalisation and sustainability
The Central Bank of Morocco governor speaks with Christopher Jeffery about Covid-19 policies, Fed tightening, BIS membership, regional co-operation and financial inclusion
People: July to September 2022
A round-up of central bankers in the news and on the move during the past three months
Banknotes: July to September 2022
A round-up of news and salient issues that have affected central bankers in the past three months
Most central banks carry out frequent stress tests
All banks that carry out stress tests say they have improved financial stability
Cyber attacks on financial market infrastructure are rising
Two-thirds report recent increase in attacks, but 80% report good cross-border arrangements
Over half of central banks say AML risks are rising
But most say central banks co-operate sufficiently across borders against money laundering
Nigerian governor announces second phase of CBDC project
E-naira has been used in transactions worth $9.5 million, Emefiele says
Central banks rarely lead AML/CFT efforts
Most institutions do not want more AML/CFT powers