Central Banking
IMF paper identifies Chinese credit market distortions
IMF study shows asymmetry in Chinese business cycles owes to non-uniform credit market imperfections and real exchange rate policy
Global imbalances top Riksbank Risk survey
Riksbank Spring 2011 Risk Survey shows market participants believe global imbalances pose greatest threat to Swedish financial system
Vote to inject further QE defeated: BoJ minutes
Bank of Japan minutes show measure to raise asset purchases by ¥5 trillion was voted down by majority
Lagarde confirms IMF candidacy, Brics unhappy
Finance minister of France throws her hat into the ring as candidate for next managing director of IMF; Brics condemn practice of choosing leader based on nationality
OECD calls for Fed and BoE to hike rates
OECD says close-to-zero policy rates in advanced countries are no longer needed; urges Federal Reserve and Bank of England to start raising rates
Ireland clears way for greater central bank power
New Bill allows central bank to step in when banks are “failing or likely to fail”; will be able to shift assets to other institutions or replace management at a troubled bank
RBA should cede control over senior pay, says Australian lawmaker
Australian senator Bob Brown calls for senior pay at Reserve Bank of Australia to be independently set by external panel; governor Glenn Stevens could see pay package cut
UK FSA’s handling of bank failure under review
Review of the British regulator’s report into the failure of Royal Bank of Scotland must assess whether report is “fair and balanced”; authority itself in line for close scrutiny
Fed veteran joins Barclays
Former Federal Reserve director of monetary affairs Brian Madigan appointed senior policy adviser at Barclays Capital
ECB’s Bini Smaghi warns of maturity mismatch from low interest rate environment
European Central Bank executive board member Lorenzo Bini Smaghi says low short-term interest rates risk are leading to over-leveraging in shadow banking
Basel III bank capital rules may squeeze lending: IMF
Fund study finds evidence suggesting new Basel III framework will diminish the issuance of loans from banks
CDS trading raises probability of default: NY Fed paper
New York Federal Reserve study examines probability of default at companies trading credit default swaps
Bank’s Fisher explains low bank rate levels
Bank of England executive director for markets, Paul Fisher, says not much could have been done by central bank to address inflationary pressures
UK financial markets and policies under fire
Parliamentary hearings attack the Bank of England set-up, financial stability reform and commission proposals
Fed to kick off annual stress-testing programme 'towards end of the year'
FRB building models to compare and benchmark bank results from late 2011
BoE’s Tucker slams regulators over rating agency failures
Bank of England deputy governor Paul Tucker says mechanistic reliance on rating agencies was a great mistake
Malta establishes financial stability forum
New forum includes members from authorities and key stakeholders in financial services industry; governor wants to ensure crisis never comes to Malta
Boston Fed's Rosengren: clarity on Basel III capital buffers paramount
Boston Federal Reserve president Eric Rosengren says definition of capital in Basel III rules will be crucial in ensuring banks are well-capitalised in the event of future crises
Search frictions do not fully explain labour wedge: IMF paper
IMF study says labour market search frictions alone do not explain imperfections in labour markets
Governments free-ride US bailout: National Bank of Austria paper
National Bank of Austria study says spillover effects of banking crisis provide an element of free-riding for some countries
Sweden’s Nyberg calls for reform to dollar funding
Riksbank deputy governor Lars Nyberg raises awareness on overdependence of banks on central bank reserves for foreign currency
De La Rue profits nose-dive
UK banknote printer De La Rue reports 63% decline in operating profits after racking up large costs from a “single customer”
Worry about Greek CDS misguided, dealers suggest
Dealers believe fears about Greek sovereign CDS trigger event are overplayed
Central banks risk amplifying tightening cycle
Working group review on sovereign debt management issues warns that lack of communication between central banks and debt managers risks amplifying tightening cycles