Exports
Algerian monetary financing may stoke inflation, warns IMF
In September 2017, Algiers resorted to central bank financing of budget deficits
Bank of Korea unveils changes to its DSGE model
The existing model’s accuracy was reduced following structural changes in the economy
Inflation falls in the euro area despite stronger growth
Annual price increases expected to fall to 1.3% in January, Eurostat says
Commodity price dip ‘likely to persist’ – paper
Bank of Canada research examines how global real economic activity can be used to model commodity prices
Nigerian central bank acts without MPC after quorum failure
Emefiele holds monetary policy steady, and hails continued fall in inflation
Bank of Japan keeps policy setting on hold
BoJ keeps policy on hold as inflation target remains elusive; Goshi Kataoka dissents again
Central bank alters export regulation for sea cucumbers
End of trading ban has led to boom in the Solomon Islands’ exports of the sea creatures
Bank of Portugal expects stronger growth in 2017
Exports are expected to boost GDP growth to 2.5% in 2017, up from 1.5% in 2016
Turkey keeps rates unchanged on high inflation
Central bank says tight stance will remain until prices approach 5% target
Argentine governor acknowledges rate cuts were too abrupt
Sturzenegger acknowledges central bank loosened monetary policy too abruptly in late 2016, but he says the bank still has tools to stimulate growth expanding access to credit
IMF praises Madagascar’s approach to monetary framework change
Madagascan central bank to introduce overnight deposit facility to form basis of an interest rate corridor; fund notes effects of vanilla bean shock still being felt by banks
SBP clashes with government on exchange rate drop
Pakistan’s finance minister expresses “deep concern” over sudden drop in currency, but central bank says it is now “broadly aligned” with fundamentals
Pakistan growth hits decade high – SBP report
Central bank says high growth, low inflation and solid investment are nevertheless overshadowed by falling exports, which have impacted reserves
Flexible exchange rate aids those hit by commodity shock, IMF report says
“Sacrifice ratio” is lower for those that allow local currency to depreciate; fixed exchange rates are becoming more expensive, IMF says
Capital account management could prevent ‘commodity curse’, BIS paper shows
Authors suggest options for small open economies dealing with commodity booms; solutions could prevent reductions in welfare and support the tradable sector
Bank of Canada re-modelling export links to US – Poloz
Previous approach may have over-estimated importance of US when modelling exports, governor says; uncertainties over US fiscal policy makes forecasting challenging
Reserve Bank of Zimbabwe releases ‘bond notes’ amid public anger
Bond notes to be released in smaller denominations first, central bank explains, to help reassure general public; social media reflects fears over new currency with some retailers already refusing to accept it
New high for reserves a sign of 'growing confidence' in Argentina – Sturzenegger
Reserves breach $40 billion mark after treasury bond sale and climbing export levels; contribution from overseas investment starting to be felt, government says
Bank of Canada considered adding monetary stimulus, says governor
Balance of risk still within zone of current 'appropriate' policy, says Canadian governor; uncertainties surrounding exports and mortgage rules may be 'temporary' he says
Fiscal policies the answer to commodity decline in Africa – BIS paper
Counter-cyclical policies have done all that they can, paper says, adding it is now time for exchange rate and fiscal policies to bear the burden and spur growth
Shocks to bank finance hit exports, Bank of Italy paper argues
Exporters and non-exporters react differently to bank credit shocks, a Bank of Italy working paper argues; researchers present ‘unique firm-bank matched database’ for Italian businesses
Exports decline ‘worrying’ as Bank of Israel holds
Monetary committee cites "intensifying decline" in exports as it holds the policy rate at 0.1%; inflation dips to –0.9%, as growth figures disappoint
Research questions whether Asia development has permanent effect on long-run price of commodities
RBA paper reveals that developments in Asia has had a significant effect on the level of commodity prices, but the increase was smaller than first thought
Belgian paper examines ‘crisis-proof’ services
Working paper finds ‘significant’ differences between the elasticity of goods exports and services exports with respect to GDP growth during the crisis