Emerging markets
Portfolio flows to emerging markets make asset prices volatile - IMF paper
Working paper unpicks domestic pull factors versus global push factors, finding the latter more powerful in determining portfolio flows
Capital lured to EMs by interest rate differentials, CBRT paper finds
Inflation and global liquidity other important drivers of international capital flows post-crisis, but countries' growth rates have less effect
Chile cuts interest rates to lowest level since February 2011
Central bank may resort to additional cuts in the months ahead as growth disappoints; Number of Latam economies have performed below expectations so far this year
IMF paper finds Latam growth likely to slow even if commodity prices remain elevated
Growth over next half-decade expected to be 150bp lower than during boom years; need for 'ambitious structural reforms' to secure 'medium-term growth'
Bank of Mexico trims growth forecast for 2014
‘Sharp slowdown' early in the year suggests little inflation over ‘horizon in which monetary policy has effect'; structural reforms hailed as ‘indispensable step in right direction'
Ghana requests IMF bailout to bridge fiscal deficit
IMF deputy director will send a team to Accra early next month to initiate discussions; Ghanaian cedi is world's worst performer so far this year
Evaluating enhancements to reserve management
David Smart, managing director of strategic advisory, sovereign & institutional funds, Franklin Templeton Solutions, discusses developments in reserve management over the past 25 years
Central Bank of Brazil yet to see effects of tightening cycle
Inflation 'still shows resistance', July minutes note; bank lowered reserve requirements for lenders last week in bid to inject additional liquidity into Brazilian economy
Central Bank of Brazil lowers bank reserve requirements in bid to boost liquidity
Reserves held against deposits cut in half as CBB hopes to inject $20 billion into economy; move ‘seems to be aimed squarely at getting economy going ahead of elections', says analyst
RBI executive director says ‘multiple instruments' needed to stem EM capital outflows
Deepak Mohanty says drawdown of forex reserves, monetary tightening, and augmentation of reserves needed to dampen speculative flows
Banxico deputy says capital controls 'multilaterally detrimental'
Manuel Ramos-Francia says EMs that have implemented capital controls to stem capital flows have ‘deflected' them towards other economies, creating political tension
Lagarde highlights threat of renewed EM volatility
IMF director lauds ECB assault on low interest rates and highlights importance of central bank communication as Federal Reserve continues to taper
Bad news in US and Europe calms emerging markets, says Banxico deputy
Market calm in EMs ‘seems to increase with bad news from the pace of recovery in advanced economies', says Manuel Sanchez
Czech vice-governor says parts of Basel III 'done with too much haste'
Vladimir Tomsik discusses regulatory framework's impact on smaller economies; says interaction between capital buffers and liquidity standards could pose problems
Central Bank of Turkey cuts main rate as MPC sees inflation in decline
Bank lowers one-week repo rate by 75bp to 8.75%, its second consecutive rate cut, but says it is maintaining a ‘tight policy stance'
Capital controls and exposure to China help EMs weather taper storm
IMF working paper isolates determinants of taper impact on emerging markets; finds capital controls, macro-prudential policies, and exposure to China can mitigate harm
Banxico deputy says free trade deals will boost medium-term growth
Javier Guzman says Mexico has 'tariff-free access to a potential market of more than a billion consumers and 60% of world GDP'
Bernanke and Rajan cross swords over policy spillovers
Former Fed chairman challenges RBI governor’s analysis of monetary policy spillovers, after Rajan calls for greater co-operation between central banks
Central Bank of Brazil raises Selic rate amid uptick in inflation
Central Bank of Brazil hikes rate by 25bp to 11% following upward revision of inflation for 2014; analysts predict an end to year-long tightening cycle
Retail fund exposures make EMs more sensitive to shocks, IMF says
IMF report examines make-up of emerging market bond and equity investors to find what lies behind increased susceptibility to global volatility
International policy co-ordination is a 'fair weather' phenomenon, says Carstens
Bank of Mexico's Augustin Carstens says 'massive inflows' were driven by carry trade; argues macro-prudential measures 'no substitute' for strong fundamentals
Nigerian parliament confirms Emefiele as Sanusi's successor
Upper house today confirmed Godwin Emefiele as next governor of the Central Bank of Nigeria; MPC held key rate yesterday despite 'unanimously' voting to tighten
Poor co-ordination on capital controls could prove ‘highly detrimental’, paper warns
Paper presented at RBA annual conference finds significant spillover effects from US monetary policy and calls for greater co-ordination of attempts to control capital flows
Reserve managers ‘obsessed' with short-term results, says Passacantando
Former Bank of Italy managing director says central bank reserve managers should take a longer-term view with their investment decisions