Data
Central banks report increase in value of banknotes in circulation
Average volume of notes declines by 2.9% year on year
IMF economists build financial stress index for 110 countries
Text-based method allows economists to assess both duration and intensity of financial crises
Central banks report continued fall in cash usage
Share of cash payments remains high in upper-middle income jurisdictions, but falls marginally overall
Public trust: the role of the private sector in exploring digital currency
Digital currencies that effectively protect financial privacy in lawful transactions will garner enduring confidence in the highly integrated networks of the future, argue J Christopher Giancarlo and Daniel Gorfine
EU data protection bodies raise concerns about digital euro
EDPB and EDPS request central bank explain how it will process and protect data
BoE should ‘step up’ data analysis, review says
Independent Evaluation Office urges central bank to embrace cloud and explore AI
CPMI pushes for harmonised cross-border payments data
Launch of minimum standards aims to tackle risk of inconsistent ISO 20022 messaging
Reserve Benchmarks 2023 – model banks analysis
Benchmarking data sheds light on key differences in reserves management strategies in advanced, emerging and developing economies
Rate hikes: too much, too late – and now too dangerous
Why monetary tightening risks a global credit crunch
Cross-border CBDC challenging to deliver, officials warn
But digital currency could tackle “extremely high” remittance costs, says IMF’s Tobias Adrian
Mexican inflation slows slightly
Headline inflation remains over target, as analyst warns food and fuel prices could rise
BIS project maps ‘vast and complex’ global crypto network
Project Atlas uses diverse data to allow central banks to track cross-border flows
Demand for cash under uncertainty: a global update
Antti Heinonen explores data showing surges in cash demand during periods of uncertainty
Over 15% of reserve managers plan diversification changes
Close to 14% of participants will increase diversification, while 17.2% are discussing changes
Wallstreet and others rank highest for reserves technology services
Ion’s Wallstreet treasury system tops the 2023 rankings
Reserve managers rank JP Morgan top for custody and banking
BlackRock preferred for knowledge transfer and capacity building
Basel III capital shortfall narrows but liquidity ratios fall
Average capital ratios returned to pre-pandemic level in December 2022, Basel Committee says
Reserve managers vote BlackRock as overall best asset manager
Goldman Sachs and “other” asset management firms also score highly
High income countries less likely to tranche reserves
Overall, 72.4% of central banks divide their portfolios into liquidity and investment sections
‘Illiquid lemon markets’ can worsen crises – NBER paper
Authors extend George Akerlof’s Nobel prize-winning work to the macroeconomy
Will the use of CBDCs improve cross-border payments?
International trials using CBDCs highlight significant architectural and practical challenges, writes Warren Coats
Fewer than half of reserve managers perform liquidity stress tests
Approach tends to be more common among African and American institutions
FX reserves commonly invested in US Treasuries, bank deposits
SIBs and EU NextGeneration fund trail behind, as reserve managers avoid infrastructure and crypto
Colombian research offers advice on modelling Covid-19 shock
Pandemic is challenging to model due to its transitory impact, authors say