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Credit crunch

Gieve: we need new instruments

Sir John Gieve, the deputy governor of the Bank of England, has admitted that the Bank underestimated the scale of the credit crisis and said the turmoil has demonstrated the need to equip central banks with new policy tools.

Crisis triggered US review of SWF stance

American attitudes to sovereign investments have softened in the wake of the credit crunch and funds should not fear a regulatory backlash once normal conditions are restored, the chairman of the US Congressional Task Force on Sovereign Wealth Funds has…

India impacted by global turmoil

Recent events in India's financial markets reflect adverse developments and extreme uncertainty in international financial markets, opines the latest macroeconomic and monetary development mid-term review from the Reserve Bank of India.

Draghi: widen scope of monetary policy

Monetary policy should aim at a greater symmetry throughout the cycle and cannot afford to neglect innovations affecting the structure of the financial system, said Mario Draghi, the governor of the Bank of Italy.

Central banks return to collective action

After a series of individual efforts aimed at resolving money market tensions, the world's major central banks resorted to collective action on Thursday, injecting as much as $180 billion (€124.75 billion) into interbank markets through various swaps and…

The Fed's balance sheet and the US Treasury

The announcement on Wednesday that the United States Treasury is issuing debt - at the request of the Federal Reserve - to replenish the central bank's balance sheet, has raised questions about the health of the Fed's balance sheet. Here are some…

Banks scramble for fresh cash offers

For the second day running, central banks have pumped vast amounts of liquidity into overnight money markets, as interbank rates soared following the collapse of Lehman Brothers and heightened uncertainty over the health of the financial sector.

IMF reviews response to turmoil

International Monetary Fund research analysing the response to the recent credit crunch suggests that central banks should develop common elements in their operational frameworks.

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