Europe
ECB raises capital requirements for eurozone banks
Geopolitics and macro-financial shocks remain top priority for next three years, annual review states
ECB president says bank can return to adjustable policy horizon
Households do not perceive how their incomes have risen, which harms growth, says Lagarde
ECB cuts rates by 25bp
Eurosystem disinflation “well on track” and council “did not discuss” TPI, says Lagarde
FSB praises France’s efforts to monitor crypto market
Review calls on authorities to facilitate Mica implementation and enforce regulations faster
Why there is no fence in effective regulatory relationships
A chief risk officer and former bank supervisor at the BoE says regulators and regulated are on the same side
Central Bank of Ireland defends Israeli ‘war bond’ approval
Critics say bank is complicit in funding genocide, but governor says it is bound by law
Digital euro can fill market gap, panellists say
Representatives from central banks and industry discuss use cases for retail and wholesale CBDCs
Share of economics departments with data unit rises
Web scraping and administrative data are top alternative sources for economists
EBA tells crypto providers to offer supervision ‘contact points’
Tightening AML/CFT regime reflects increasing risks in sector
Eurozone needs ‘exceptional mechanism’ to resolve banks – BdF
Bloc is ready to resolve most challenges but still needs liquidity mechanism for larger lenders
Economists commonly use AI for data analysis
Lower-middle income countries, Africa and Asia-Pacific report lower use of AI
South European states benefited most from NGEU – ECB
Recovery and resilience facility’s structural reforms expected to pay off in the long run
Digital euro’s ‘cash-like privacy’ hinges on offline functionality
Update report notes disagreement between banks and consumer representatives on key design aspects
Peer-reviewed journals still top gauge for research impact
Smaller teams more likely to consider conference presentations as assessment tool
Norway joins Target instant payments system
Country becomes first non-EU member to settle payments in Tips
Inflation and GDP growth forecast errors decrease further
Forecast errors used widely for key model adjustments
Keep liquidity provision loose during shocks – ECB study
Central banks can lessen harm to economy by reducing liquidity premium, say authors
One in five main models has endogenous financial sector
Benchmark highlights array of methods central banks use to model financial sector, but 40% still do not model the financial side of the economy
Central banks published fewer working papers and articles in 2023
Middle income and low income central banks published less
Time series and semi-structural models widely applied
High income countries more likely to use AI than peers from other income levels
Savings, not debt, can finance EU growth – Villeroy de Galhau
Governments need “strategic pivot” to meet structural challenges, says BdF governor
Economic growth and inflation remain most forecast indicators
But year-on-year data show rising priority for exchange rates
Capital markets union faces ‘death by a thousand cuts’ – Lagarde
ECB president tears into European leaders’ inaction over innovation and wealth creation
Sweden should modernise retail payments – Riksbank study
Clearing infrastructure needs update and card settlement warrants reform, researchers say