Latin America & Caribbean
Taking a cue from the top: governor turnover and independence
Central bank governors tend to have long tenures, but what that means can vary. High turnover remains a worrisome signal
Latin America faces challenging conditions, IMF warns
Central banks should focus on driving inflation down to preserve credibility, report says
Rising inflation still stalks major Latin American economies
Tighter monetary policy in Brazil, Chile and Mexico is failing to bring inflation down
Costa Rican central bank raises rates to highest level since 2011
Board also orders increase in reserve requirements from July as inflation remains over target
Officials urge narrow focus as CBDC use cases proliferate
Communication and financial inclusion are critical concerns, Summer Meetings panellists agree
Central bank websites vary greatly in popularity
Some get hundreds of page views per month, while others get millions
Do CBDCs make sense for Latin America?
Steven Kamin says CBDCs may be particularly beneficial to emerging market economies
Payments and market infrastructure development – retail: Central Bank of Brazil’s Pix
The implementation of the Pix real-time payment system in Brazil was a runaway success in terms of payment activity, innovations and inclusion
Economists warn Latin America faces another lost decade
Continent is “halfway to a lost decade already”, says World Bank’s Carmen Reinhart
Latin American dollar debts could cause systemic risk, paper says
Authors say the Fed risks a major policy mistake if it ignores the wider impact of tighter US policy
Ukraine invasion raises questions for Fed policy and Latin America
Economists say some countries may benefit from higher commodity prices, but food inflation and uncertainty over Fed policy complicates the outlook
Diego Labat on policy normalisation, capital flows and tech challenges
The Central Bank of Uruguay governor speaks with Christopher Jeffery and Ben Margulies about governance, financialisation, flexible rates versus capital controls, payment upgrades and CBDCs
Is Latin American monetary policy still counter-cyclical?
Latin American central banks have been tightening monetary policy aggressively. Steve Kamin examines whether this is a return to historical patterns or if it reflects a newer approach
Central bank independence helps build reserves – researcher
Latin American central banks given independence built up strong FX reserves, paper finds
Paraguay continues tightening with second 125bp hike
Inflation rises far above 4% target, reaching 7.6% in October
Peru central bank raises rates again
Fourth hike since August “does not necessarily imply a cycle of successive increases”
Paraguay’s central bank raises rates to 1.5%
MPC says monetary policy normalisation should continue in wake of rising inflation
Book notes: Robert Triffin, by Ivo Maes with Ilaria Pasotti
Triffin’s story is well told by Maes, whose extensive personal and academic research shines through on page after page
People: New York names state financial services regulator
New president at development bank; supervisors promoted at regional Feds; and more
Taiwan and Paraguay central banks sign co-operation agreement
Paraguay is only South American state to recognise Taiwan government instead of Beijing
Brazilian minister says Mercosur could have single currency
President has also suggested monetary union with members of trade area
People: Sam Woods reappointed; Fernanda Nechio returns to SF Fed
BoE deputy gets fresh term; Nechio to lead regional Fed’s sustainability research; and more
Governance Benchmarks 2021 report – the frameworks that rule central banks
How are central banks governed? Benchmarking data offers insights on appointments, legal structures, powers, decision-making bodies, independence and more
The Belt and Road Initiative 2021 Survey – The impact of Covid‑19 on the BRI
The fourth annual Belt and Road Initiative survey reveals that the Covid‑19 pandemic has disrupted many projects despite China remaining committed to financing the initiative, which is expected to support future economic growth and environmental…