Euro
Euro membership not good for all, study says
According to this article published Monday 26 June, a new report from the CEPR claims Britain and other European economies have little to gain from adopting the euro now.
IMF paper on impacts of non-adoption of the euro
The IMF Working Paper "Price impacts of non-adoption of the euro for small European countries" uses the Sjaastad model to analyze the price-making power of major currencies with regard to the prices of traded goods in small countries that have not…
Paper on European monetary policy
The paper "Is European monetary policy appropriate for the EMU member countries? A counterfactual analysis" analyses whether interest rate paths in the EMU member countries would have been different if the previous national central banks had not handed…
EU confirms Slovenia's 2007 euro entry
EU leaders ended their spring summit Friday 16 June by welcoming Slovenia as the 13th member of the euro single currency.
Weber: Rate moves not subject to FX considerations
Bundesbank president and European Central Bank council member Axel Weber said Friday 9 June that the ECB cannot make interest rate decisions with reference to the level of the euro.
IMF says Persian Gulf should consider peg
Persian Gulf countries preparing to establish a single currency should consider pegging to the euro as well as the dollar, according to the International Monetary Fund.
ECB's Target Annual Report 2005
The European Central Bank (ECB) published the TARGET Annual Report 2005 on Friday 19 May. This publication, which is the sixth of its kind, gives an overview of TARGET operations in 2005.
Comment: Emerging market jitters
Emerging markets equities, bonds and currencies have been under severe pressure over the last two weeks. The turning tide will leave a number of central banks uncomfortable, particularly as the favourable conditions of the last 2 and 3 years has actually…
ECB not worried by dollar weakness says Liebscher
The European Central Bank is unperturbed by the dollar's current weakness and may still proceed with an interest rate increase next month, Austrian central bank chief Klaus Liebscher said in a newspaper interview published Tuesday 16 May.
EU vetoes Lithuanian euro entry, endorses Slovenia
This article published Tuesday 16 May reports news that the European Union has turned down Lithuania's bid to adopt the euro, the first time a nation has been rejected since the common currency's creation in 1999. However, Slovenia has got the nod of…
ECB's Trichet on two successes of the euro
In the speech 'Two successes of the euro: the single monetary policy and European financial integration' given on 11 May Jean-Claude Trichet of the ECB said that the central bank is on high alert over inflationary dangers, is exercising "strong vigilance…
Euro critical when Issing goes missing?
Sunday 14 May's Frankfurter Allgemeine Sonntagszeitung contained a portrait of ECB chief economist Otmar Issing under the headline "The preacher". Without Issing the euro could weaken considerably, it said.
Hungary's Jarai calls budget 'undisciplined'
Hungary's central bank governor launched a strongly worded attack on the budgetary management of Hungary's socialist prime minister, Ferenc Gyurcsany on Thursday 11 May.
German pay policy points to a eurozone design flaw
According to this article by Paul de Grauwe, published Friday 5 May, in spite of the fact that the eurozone is a union of countries which set their monetary policy jointly, wage policies have been characterised by a blatant co-ordination failure.
Trichet 'not satisfied' with inflation over 2%
Speaking at the Frankfurt Chamber of Industry and Commerce on Friday 5 May, Jean-Claude Trichet said the European Central Bank is 'not satisfied' with inflation above 2 pct in the euro zone.
Europe must relax inflation test for euro entrants
According to this article by Willem Buiter, published Thursday 4 May, forcing eurozone membership candidate countries to meet both an exchange rate criterion and an inflation criterion makes no economic sense.
Exporters should watch Swiss franc says SNB chief
Swiss National Bank president Jean-Pierre Roth said in an interview that Swiss exporters should keep a close eye on the Swiss franc and protect themselves for possible volatility.
Dates slide for euro hopefuls
Assistant editor Nick Carver surveys the progress – or in some cases the lack of it – of the ten countries that joined the EU in 2004.
Iceland considers joining euro
Iceland could seek to join the euro, according to Prime Minister Halldor Asgrimsson.
Economist warns over euro currency
Respected European economist Paul de Grauwe has warned of the euro's collapse unless there is progress towards political union.
Riksbank changes currency allocation
Sweden's Riksbank announced on Friday 21 April that it has reallocated the currency holdings in the bank's foreign currency reserves. The changes include a move away from US dollar holdings in favour of euros.
Comment: Sweden sheds reserve dollars
The Swedish Riksbank dropped a bit of a bombshell on international currency markets on Friday 21 April by announcing a significant reduction in the share of dollars and yen in its foreign reserves portfolio. Although Sweden has a relatively small…
Gulf states buy euros with their reserves
According to this article published on Wednesday 5 April, a diversification of Middle East reserves could have a negative impact on Washington's ability to finance its debt.
Should GCC states diversify reserves?
According to the article 'Should GCC states diversify reserves away from the US dollar?' published Tuesday 4 April, the discussion among GCC central banks about diversifying away from the US dollar comes at a time when the greenback has already devalued…