Central Banking
China holds benchmark lending rates
One- and five-year loan prime rates unchanged after authorities pledge to loosen policy next year
Repo and FX markets buck year-end crunch fears
Anticipations of changes to the Fed’s reverse repo programme contributed to easing balance sheet pressures
Forbearance does not always lead to ‘zombification’ – BoE paper
Well-designed policies can support firms through temporary periods of stress, researchers find
Central Bank of the Philippines cuts policy rate by 25bp
Third reduction in a row follows Fed’s quarter-point cut
BoJ holds rates, completes broad monetary policy review
Governor admits bank has been slow to raise rates, but highlights need to assess wage data and US policy
Sweden makes further cuts, but Norway continues to hold
Riksbank reduces rates by 25bp, but Norges Bank maintains more hawkish approach
BoE holds rates as UK inflation hits eight-month high
Decision closer than expected as members unsure about implications of government budget
Federal Reserve cuts rates by 25bp
Powell says effects of Trump’s proposed policies, including tariffs, remain unclear
Central banks need to foster trust – ECB report
Instilling public confidence helps in achieving policy objectives and maintaining independence
Fintechs’ share in Dutch NBFI lending doubled in two years – DNB study
However, €2.3 billion dispersed by firms still represents only 0.7% of all loans
Central banks ‘too slow’ on wholesale CBDCs, industry says
Report emphasises need for greater public-private collaboration and unified definition
FSB launches plan to rein in non-bank leverage
Limited data and uneven regulatory mandates pose major challenges
Bulgarian deputy hails court ruling to annul his suspension
Gurov says decision confirms that Bulgarian anti-corruption body engaged in “political interference”
Bank Indonesia holds rates after HQ raided over graft probe
Benchmark rate stays at 6% two days after offices searched over alleged misuse of CSR funds
Ukraine hikes rates, Serbia and Hungary hold
Worse-than-expected drought affects food inflation in eastern Europe
Bitcoin reaches new high after Trump’s pledge to create reserve
President-elect says he does not want “China or anybody else” to take leading role on digital asset
Demographics could trigger closures of US universities – study
Research by Philly Fed says fewer young people are enrolling, which is adding to financial pressures
IMF team builds new multi-country semi-structural model
G3MOD designed for frequent analysis by central banks of trade and financial links
ECB raises capital requirements for eurozone banks
Geopolitics and macro-financial shocks remain top priority for next three years, annual review states
Bank Indonesia completes wholesale CBDC proof of concept
Experiments show two DLT-based platforms are capable of serving as a ledger
RBA appoints six new board members as part of reforms
Two join rate-setting team while others enter newly established governance board
ECB president says bank can return to adjustable policy horizon
Households do not perceive how their incomes have risen, which harms growth, says Lagarde
Assets held by risky non-banks grew to record high in 2023 – FSB
Surging asset prices caused sector to grow more than twice as fast as banks
Banks should be operationally ready for liquidity support – BIS
Institution calls on authorities to improve lenders’ preparedness for central bank liquidity