China
Latvian paper proposes refinement to definition of trade
Working paper produces measure to better account for the value added component of trade; authors argue this better captures a country’s contribution to world markets
PBoC signs $1.63bn swap deal with Central Bank of Sri Lanka
Three-year arrangement between Chinese and Sri Lankan central banks follows deal in August allowing the latter to invest in China's interbank bond market
Bank rules and their impact on inequality
Banking regulation has a profound effect on levels of long-term financial inclusion around the world; US engaged in a failed ‘lottery ticket’ effort by the US to offer housing to the poor.
Financial liberalisation much more encompassing ‘than just technical lifting of controls'
Market participants face numerous unexpected challenges as they adapt to more liberal operational environments, says Bank of Finland board member at China financial liberalisation event
Peru governor says Fed ‘normalisation’ will help reverse domestic slowdown
Central Bank of Peru governor Jose Velarde says Fed has ‘probably not’ done enough to limit international spill-over, but growth in the US will partially offset a slowdown in China
FSB estimates of Chinese shadow banking fall short of target, IMF representatives suggest
FSB's ‘filtering out' of parts of the non-bank financial system in China paints incomplete picture, IMF Asia division chief and HK representative say
US monetary tightening could have ‘long-lasting impact' in Peru, says IMF paper
Investment slowdown in China and US policy ‘normalisation' would leave dents in country's dollarised economy, study finds
China’s cooling property market ‘a challenge’ to growth objectives
RBA governor Glenn Stevens sees property market as a challenge to Chinese authorities’ growth objectives; Dallas Fed economists concerned about impact on shadow banking sector
HKMA executive director joins IMF's monetary and capital markets department
Dong He, HKMA head of research, new second-in-command at IMF division in charge of monitoring central banks and preparing Fund's Global financial stability report
Global financial system's future hinges on China's willingness to accept emerging India
India's emergence - and China's willingness to tolerate it - will be ‘test of survival' for the global financial system in the coming years, argues Deutsche Bank report
China joins Indian calls for better taper co-ordination
People's Bank of China says advanced economy coordination is ‘reasonable and inevitable course of action', joining calls from the Reserve Bank of India for international monetary policy solidarity
IMF paper finds Latam growth likely to slow even if commodity prices remain elevated
Growth over next half-decade expected to be 150bp lower than during boom years; need for 'ambitious structural reforms' to secure 'medium-term growth'
Book notes: The Dollar Trap, by Eswar S Prasad
A lively and compelling analysis on currency wars in the wake of the financial crisis – and the likely persistence of the US dollar as the world’s pre-eminent currency
IMF charts path towards PBoC policy rate
Staff report encourages the People’s Bank of China to stabilise borrowing costs in the interbank market as an ‘interim step’ towards establishing a policy rate
Chiang Mai Initiative doubled in size to $240 billion
Financial safety net for China, Japan, Korea and the Asean nations doubled in size; Bill Allen describes the initiative as 'ornamental' as it has never actually been used
Brics nations launch development bank and reserve fund
Brazil, Russia, India, China and South Africa launch new institutions to fill the gaps left by the World Bank and IMF; Observers see challenges ahead
Price competitiveness strong in the US but weak in China, Bundesbank paper finds
Proposes ‘simple productivity approach-based' method for calculating a ‘consistent set of multilateral indicators' of price competitiveness
Chinese banks freed to set own RMB-dollar exchange rate
Chinese authorities hand banks freedom to set their own dollar exchange rates; central bank also widens renminbi trading band
PBoC approves direct trading between renminbi and sterling
The pound will become only the fifth currency that can be directly exchanged with the yuan; People’s Bank of China names China Construction Bank as renminbi clearing bank in London
MAS to offer overnight renminbi liquidity
Monetary Authority of Singapore says it will launch an overnight liquidity facility for Chinese currency in July; latest step in growth of offshore market
PBoC aims to galvanise lending by cutting reserve ratio for small banks
People’s Bank of China insists its monetary policy stance ‘has not changed’ as it cuts reserve requirements for smaller banks
US overtakes Taiwan as offshore RMB clearing centre
The value of RMB payments between the US and China jumped 229% in the year to April 2014, helping the US overtake Taiwan as the third-biggest offshore RMB clearing centre
PBoC launches $2 billion Africa investment fund
The People’s Bank of China will provide $200 million each year for a decade to finance development projects in Africa, as governor Zhou Xiaochuan criticises past investment deals
PBoC favours London as offshore RMB hub, says leading Chinese banker
The Chinese government and central bank 'think very highly' of London, says top Chinese banker who predicts the City will play a key role in renminbi internationalisation