Europe
ECB official open to offering liquidity aid to non-banks
Deputy director doesn’t rule out copying UK plan to extend repo facility to pension funds and life insurers
BoE will need to closely monitor shift to T+1 if it is to succeed – report
UK will move to accelerated settlement by 2027, even if rest of Europe has yet to align
Shared EU debt not ‘essential’ for competitiveness boost – Draghi
Former ECB chief also says his proposal for €750bn of extra annual investment is “conservative”
How (not) to review your monetary policy framework
The Fed made some mistakes in its last strategy review. As it prepares to have another go, it could learn from other central banks
‘Unpredictable’ risk driven by AI, geopolitics – Lagarde, Buch, Rehn
European supervisors call for caution – and more authority – at ESRB annual conference
Middle income countries form largest membership of World Bank Ramp
Central banks highlight market intel, support, training as partnership gains
Supervisors use generative AI to tame ‘chaotic’ data
Officials merge credit databases with unstructured reports to sharpen bank oversight, explains Banco de España ex-deputy
Pricing and funding pressures from BoE's QT hit gilt repo dealers
QT-driven funding cost rises combined with clients’ price demands see at least two banks pull back
Half of middle income central banks intervened in FX markets in 2023
Liquidity tranches form largest part of reserves in lower-middle income countries
Most high income central banks engage in securities lending
But liquidity stress-testing tends to be common practice across middle income institutions
Central bank digital currencies must be user-friendly – ECB study
To be widely adopted, CBDCs will need to combine best aspects of existing payment methods
Large reserve holders use external managers for intel and new assets
Staff training trumps new asset class adoption as overall goal for third parties’ engagement
Asset delegation to external managers averages just 12%
One in 10 central banks considering reviews of allocations to external managers
Central banks split over impact of US sanctions on dollar reserves
De-dollarisation, if it happens, will be very slow, central banks say
Central banks should examine demographics – Finnish governor
Rehn says sharp decrease in hours worked and increased immigration may not continue
Reserve assets still rarely screened on ESG grounds
Bonds and equity indexes remain widely favoured for benchmarking
Previous CBDC research based on outdated assumptions – ECB paper
Authors say rejecting digital cash would have adverse unintended consequences
ECB cuts rates by 25bp
Eurozone growth projections revised downwards as German economy slows
Ten central banks diversify portfolios with new asset classes
Institutions introduce green bonds and others into their reserve holdings
Asia-Pacific has highest assessing reserve adequacy metric
Ratios broadly higher among middle income central banks
Phasing out coal-fired power could ultimately pay for itself – BdF paper
Authors say gains from lower operating and finance costs could compensate for outlay costs
Households biased in views of purchasing power – BdF deputy
Bénassy-Quéré says too much emphasis placed on food and energy prices’ effects on inflation
China poses ‘risk of economic coercion’ – Belgian paper
National Bank of Belgium says trade with EU has shifted to more “strategic” goods
Draghi report calls for step change in EU investment
Former ECB chief says bloc should revive securitisation and finish capital markets union to stay competitive