Europe
ECB reallocates subscribed capital after Brexit
Eurozone central banks will increase their total paid-up capital by €1.2 billion over the next two years
ECB reveals large banks’ individual capital requirements
Enria warns banks to improve profitability, saying “challenging environment” will not change soon
ECB’s Mersch warns of negative side-effects of ultra-loose policies
Policies may be contributing to risk-taking, high asset-price inflation and inequality, board member says
Bad banks work, but not in isolation – BIS paper
Researchers study what factors lead to successful “asset segregation” schemes
European parliament committee votes against Gerry Cross for EBA post
Committee members expressed concern over nominee’s previous work for lobbying organisation
Lagarde promises wide-ranging review as ECB holds rates
ECB’s monetary policy review will look at green finance and engagement with citizens – Lagarde
EU council may cut margin haircuts for CCP resolution
Proposals would close avenues for regulators to dip into non-defaulting members’ initial margin
Should the ECB increase the transparency of governing council meetings?
Observers and former officials weigh pros and cons of greater disclosure for policy efficacy and independence
Book notes: The long journey of central bank communication, by Otmar Issing
This book is a “masterly exposition on central bank communication, its evolution and continuing challenges”, writes Anand Sinha
European companies’ credit demand shrinks despite ECB stimulus
In Q4 2019, credit demand from non-financial corporations declined for first time in six years
ECB calls for changes to German draft CCP recovery law
Law should be rewritten to provide more transparency on Bafin’s procedures and approach, ECB says
Non-bank growth slowed in 2018, says FSB
Riskiest forms of non-banks still growing, but overall assets went into reverse in 2018
ECB willing to provide further stimulus – minutes
Governing council stresses inflation remains below its medium-term goal
Belgium to launch new ‘smart’ ATM network
Network will look to solve geographical disparity and maintain cash services
European banks must improve ‘big data’ practice – EBA report
Current regulatory framework is adequate but banks must work hard to improve trust, EBA says
BoE will get back €58 million from ECB after Brexit
Decision yet to be made on who will make up the capital shortfall; UK will also see its membership of EIB rescinded
Interview: Björn Segendorf
Riksbank senior adviser thinks it highly unlikely cash will disappear completely in Sweden, but says if it does, the central bank will continue to keep stocks of cash
Phillips curve still explains eurozone inflation movements – research
Results may become a focal point of debate in the forthcoming ECB strategy review
EU central bankers urge UK to stay close on regulation
Klaas Knot and Luis de Guindos warn UK could lose out if it diverges from EU regulations, but Mark Carney says UK needs autonomy
Lagarde awards Schnabel key policy role in renewed ECB board
Panetta leads market infrastructure and payments, banknotes and international relations
Pension funds suffer in latest round of Eiopa stress-testing
Only 30% of funds have policies in place to mitigate ESG risk; low interest rates continue to pose a problem for funds across Europe
Risk weight tweak could fix IFRS 9 capital clash – research
Practitioner suggests way to cancel out double-counting of Basel credit loss provisions
Eurochain: CBDC project seeks secure anonymity
Proof of concept blends anonymity with AML/CFT regulation
2019: The year in review
The past year was marked by a persistent weakening of the global economy, and some radical financial innovations