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Central Banking

Global events motivated Turkey's 50bp cut

The global economic slowdown expected to follow the credit crunch was behind the Turkish central bank's decision to cut its benchmark rate by 50 basis points earlier this month, minutes of the monetary policy meeting, published on Friday, reveal.

Why Poland's MPC held rates

According to minutes published on Friday, Poland's Monetary Policy Council (RPP) decided at its meeting on 25 and 26 September that as the medium term probability of inflation running above the inflation target (2.5% year-on-year) had fallen there was no…

CBs must note credit crunch effect of Basel II

The procyclical effects of Basel II could increase the likelihood of credit crunches in downturns. Patricia Jackson, the head of the Prudential Advisory team at Ernst & Young and a former member of the Basel Committee, believes it is important for…

Dubai in regulatory pact with US

The Dubai Financial Services Authority (DFSA) has signed a memorandum of understanding with the United States banking supervisors. The Federal Reserve, the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation and the…

Sharia banking not "cosmetic" - Indonesia's Siti

"We don't want the sharia units to be mere 'cosmetic lipstick' for the banks, where they say they have such Islamic-based banking businesses but the fact is the units only have an inappropriately small market share," deputy governor of the Bank Indonesia…

Indonesia still vulnerable to shock

Indonesia's current economic conditions mirror those that sparked the 1997-1998 Asian financial crisis and the central bank is working to protect the country from the impact of a potentially similar scenario, Budi Mulya, a director at Bank Indonesia,…

Crisis not yet over - Switzerland's Hildebrand

The subprime crisis that triggered the credit market turbulence is undoubtedly not yet over and further global financial market turbulence is likely to slow down the Swiss economy, said vice-president of the Swiss National Bank Philipp Hildebrand in a…

Liquidity risk is top issue: Luxembourg's Mersch

In the wake of the recent banking crisis, the most important regulatory issue is ensuring that the liquidity risk relating to complex structured products is adequately assessed, according to Yves Mersch, the governor of the Central Bank of Luxembourg.

Papua New Guinea - Annual Report 2006

The Bank of Papua New Guinea almost doubled its foreign currency investments in 2006, spending Kina 4.01 billion ($1.4 billion) in comparison with Kina 2.06 billion ($720 million) the previous year.

Czech Republic breaks free of EBRD support

The Czech Republic has become the first country to opt out of funding from the European Bank for Reconstruction and Development (EBRD), the development bank set up to invest in the central and eastern European transition economies.

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