Interest rates
The bitter divide on inflation targeting
Economists are split over a recent suggestion that central banks should raise their inflation targets to allow more room for cuts in crises
Svensson: Riksbank needs to be more forceful
Riksbank deputy Lars Svensson explains Sweden’s response to crisis and draws on lessons for future
India surprises with 25 basis point hike
Reserve Bank of India ups key and repo rates as inflation bursts through 8.5% ceiling
Sweden’s Ingves explains decision to hold rates
Stefan Ingves the Riksbank’s governor offers reasons holding back on rate rise despite signs of strong economic recovery
BoJ board split on doubling liquidity scheme
Bank of Japan fixed-rate funds operations scheme to be doubled to ¥20 trillion, two board members dissent
BoE unanimously backed rate hold
The Bank keeps rates steady as the MPC remains cautious over the road to recovery
RBA justifies March rate hike
Signs of revival in economic activity convinced board members to hike rates by a quarter point
New BoK head sparks independence fears
Surprise choice of OECD representative Kim Choong-soo seen as way for government to exert control over central bank
Fed’s Hoenig dissents again
Kansas City Fed president disagrees with commitment to keep low rates for an “extended period"
China’s Zhou not flustered by higher-than-forecast inflation
People’s Bank of China governor Zhou Xiaochuan keeps a cool head as inflation increases by more than expected spooking analysts and markets, says central bank will keep to plans
Chinese inflation spike scares investors
Chinese consumer prices rise more than consensus forecast in February, sparking fears that the economy is overheating
Rate round-up
Swiss, New Zealand, Korean and Peruvian central banks all opt to hold rates
SARB will not be nationalised: Treasury
South African finance minister Pravin Gordhan dismisses talk of placing the central bank under state ownership, condemns shareholders’ tactics to force state takeover
BoE’s Barker on the future of policymaking
Kate Barker draws on her nine years of service at the Bank of England to highlight some of the challenges facing policymakers
Malaysia hikes as recession ends in emerging Asia
Bank Negara Malaysia raises its key rate by a quarter percentage point, citing stronger than forecast growth results in emerging Asia
Nigeria slashes deposit rate to ease lending
Central Bank of Nigeria knocks 100 bps off deposit rate and extends quantitative easing programme to promote lending to the real sector
Australia hikes on further evidence of recovery
Reserve Bank of Australia raises cash rate to 4% as Stevens says economy in the clear
Fiscal cuts must precede monetary tightening: IMF
International Monetary Fund notes fiscal consolidation is by far the biggest concern; suggests central banks maintain large balance sheets for time being
Fed presidents play down discount hike
Regional Fed presidents William Dudley, Dennis Lockhart and Janet Yellen deny that rise in discount rate equates to the end of accommodative policy
Hungarian rate falls to record low
National Bank of Hungary rate-setters slice a quarter point off key rate, now at all-time low
Jordan cuts to boost growth
Jordanian central bank shears half a percentage point off its key overnight deposit rate to stimulate the flagging domestic economy
Fed’s discount rate hike jolts markets
Federal Reserve firms exit strategy by lifting the rate at which it lends to banks by a quarter percentage point, markets teeter
Russia cuts on carry trade concerns
Bank of Russia chops a further 0.25% off its key refinancing rate and intervenes in currency markets on worries of rouble strength
When to exit?
In Central Banking’s second webinar, sponsored by BNP Paribas Securities Services, Charles Goodhart, Lucrezia Reichlin, Paul Mortimer-Lee and Gabriel Stein discussed when central banks should raise rates