Europe
Central banks complement traditional models with AI
Time series and semi-structural models remain economists’ choices for forecasting
Europe’s central banks say ‘No!’ to priority Truth Social access
Monetary authorities do not see value in seeing US president Donald Trump’s posts immediately
ECB succession race: Netherlands throws weight behind Knot
Former DNB governor receives official backing
Working paper production linked to number of PhD economists
Central banks averaged output of roughly 10 working papers last year
Eurozone banks get reality check after ECB geopolitical stress test
Financial institutions struggling to embed geopolitical risks into resilience testing, ECB says
Digital euro would have ‘muted’ effect on banks’ funding – paper
Bundesbank finds that €3,000 holding limit would cause “contained” effects on long-term bank health
Third of economics departments say staffing ‘barely sufficient’
Forecasting, policy analysis and research are economists’ top duties
BoE’s crisis lending plan hits buffers
Scepticism greets regulator’s proposal to increase releasable leverage capital buffers
Economists’ average annual salary rises
Incomes have some relation with GDP per capita and central bank size
LLMs can analyse news articles to spot stability risks – ECB study
Authors use AI to find trigger events in dataset of over 1 million stories
Economics staff strength increases over two-year period
Departmental size as share of central banks’ workforce widens to 7.7%, on average
Book notes: Money: the inside story, by Rupal Patel and Jack Leslie
BoE’s latest explainer provides an entertaining and accessible guide to finance
Icelandic policy has been sub-optimal for two decades – research
Central bank set rates too high post-GFC and should have eased quicker, paper suggests
Bank of England keeps rates at 3.75%
Split 6–3 decision points to divisions over inflation outlook amid escalation of Iran war
Eurozone non-labour income used for saving, not spending – paper
Erosion in financial wealth dragged on consumption, Bank of Italy study finds
BoE’s leverage ratio rejig to hit HSBC and StanChart
Proposed changes aim to rebalance scales in favour of domestic lending
North Macedonia holds rates
Central bank votes to keep policy at 4.25%, citing prolonged uncertainty over Iran conflict
BoE’s MPC statements not sufficiently ‘collective’, says Bean
Former deputy governor laments ‘excessive and potentially confusing emphasis on individual views’
Slovak governor calls for further ECB rate hike in September
Kažimír says bank needs to pre-emptively tackle further inflationary effects of energy shock
EU defence spending boosts growth before inflation – CNB
Financial markets buy into defence equities well before government money has been spent, study finds
ECB to implement new repo facility through five central banks
Monetary authorities in France, Germany, Italy, the Netherlands and Spain to supply liquidity
ECB unveils shortlist of new euro banknote designs
Bank invites public to share their views, offers vertical designs for first time
Bank of Russia confirms new crypto regime
Law forms part of de-dollarisation and alternative payments push as Moscow seeks new ways to evade sanctions
‘Tips clone’ developed by Bank of Italy goes live in Balkans
Bosnia and Herzegovina and Montenegro become first jurisdictions connected by payments system