Foreign exchange
Euro failing to challenge US dollar in global reserves – CBI Benchmarks data
Among non-European central banks euro sovereign debt accounts for just 4.1% of reserves; negative rates act as a major barrier, say reserve managers
Emerging markets act as standard bearers for tranching
Nearly two-thirds of reserve managers tranche; largest allocations made to investment tranche
Nigerian central bank clamps down on alleged FX breaches
Local media reports bank accounts for 38 firms were blocked as currency remains under pressure
RBA reserves decline sharply during Covid-19 crisis
Official reserves declined from $46.7 billion in March to $33.5 billion in August
Turkey holds rates but raises reserve ratios
Move appears to be attempt to stem fall in currency despite president’s opposition to rate hikes
South Sudan has no forex reserves, deputy governor says
Central bank is unable to intervene as currency plummets on parallel markets, official says
ECB paper sets out new dataset on trade invoicing currencies
Dataset sheds new light on the importance of “dominant currency paradigm”, authors say
Iranian central bank pledges oil-based bond issue
Central bank makes large foreign exchange intervention as currency comes under pressure
Taiwan central bank open to more onshore insurer FX hedging
Central bank suggests lifers can use onshore swaps to hedge dividends, but some warn it could hit NDF market
Detail matters when monitoring external imbalances – IMF research
Gross external debt is one of the clearest signs of vulnerability, study finds
CLS proposes second-tier FX settlement system
Stripped-back system for EM currencies mooted to tackle rising settlement risk
Structural changes may increase dollar funding strains – IMF paper
Some emerging markets still face “significant funding pressure”, researchers find
Lebanese central bank faces audit as crisis deepens
Inflation is spiralling and IMF talks have yet to result in a bailout package
National Bank of Georgia upgrades FX infrastructure
Move follows other financial market infrastructure reforms in recent years
Confusion over Nigerian central bank’s exchange rate policy
Finance minister says rates will be unified while reports say real value of currency is falling
SNB’s Jordan defends currency interventions
Switzerland had “difficult starting position” from which to tackle the Covid-19 shock, chairman says; negative rates have worked, he argues
Malawi’s new president dismisses governor
Former World Bank official will take over central bank as country faces uncertain outlook
Have equities passed the Covid-19 test?
Reserve managers face a rebalancing and asset allocation challenge, with Fed interventions distorting yield curves and boosting equity valuations. What’s next for asset diversification?
London court blocks Venezuelan government from using gold
Lawyers for Maduro regime say they will appeal over access to $1 billion store
BIS suspends dividend to prepare for further Covid-19 strains
BIS will not pay dividend for first time since 1950, as senior managers see further turbulence ahead
Lebanon’s powerful central bank chief and its slide into crisis
Governor Salameh created unsustainable banking sector, former minister alleges in an interview
CGFS report offers policy advice for coping with dollar funding strains
BIS committee gives advice amid “major changes” in the structure of global dollar funding markets
Trends in reserve management: 2020 survey results
Covid-19 expected to dent the risk appetite of central bank portfolio managers; socially responsible investing gains ground
Reserve managers ‘unprepared’ for home trading
Covid-19 presented reserve managers with unprecedented business continuity challenges at a time of acute market and economic distress