Interest rates
Brazil moves to adopt new targeting regime
National monetary council says it will aim for permanent inflation target from 2025
Kenya hikes 100 basis points at unplanned meeting
New governor says unexpected rise in inflation made rate increase necessary
Israeli government clashes with governor over banking law
Governor says law “crosses a red line” on independence, but pushes banks to raise rates
Riksbank raises rates and signals further tightening
Swedish central bank accelerates government bond sales and is looking to hedge currency risk
Policy has not been tight long enough – governors
Hot labour markets boost wages and core inflation, making inflation persistent
Low rates have small effect on bank profitability – researchers
A 100bp rate cut results in 5bp fall in banks’ net interest margins on average, study shows
ECB ‘cannot declare victory yet’ over inflation – Lagarde
President stresses rates will need to be higher for longer to defeat persistent inflation
SBP reverses course and hikes rates 100bp
State Bank of Pakistan raises key rate in emergency session as IMF deadline looms
Corridor systems most used to set monetary policy
Floor systems less popular overall but widely used with asset purchase programmes
RBI’s Shaktikanta Das on financial sector reform, sticking to inflation targets and the e-rupee
The Reserve Bank of India governor speaks about developing credible self-insurance and sizeable FX reserves, inter-dependence with government, non-bank and bank regulatory reforms, demonetisation, rupee internationalisation and daily UPI payments hitting…
Central banks face tough fight for ‘last mile’ of disinflation – BIS
Credit losses could rival global financial crisis in higher-for-longer scenario, institution warns
Bank of Mexico holds rates again
Board says rates will remain at current level “for an extended period”
NBER paper estimates demand for bank reserves in US
Fed needs global estimates of demand curve slope to maintain interest rate control, authors say
Latin America: Brazil holds rates despite president’s attack
Chilean board also holds policy, while Costa Rica cuts after inflation goes below target
Switzerland and Norway raise rates
Norges Bank expects further increases while SNB does not rule them out
BoE makes surprise 50bp rate increase
Central bank to review modelling framework after repeated forecast errors
Euro remained second reserve currency in 2022 – ECB report
Structural factors continue to hold back the euro as a reserve currency
Schnabel stresses inflation risks and need for tighter policy
ECB needs to err on the side of doing too much rather than too little, says board member
Bangladesh to adopt single exchange rate
Central bank raises interest rates as it struggles to stem inflation and build reserves
State Bank of Vietnam cuts interest rates
Move comes after government’s call on the central bank to support businesses and economic growth
Higher or longer? That is the ECB’s question
Speeches by Bundesbank president and Banque de France governor stake out divergent positions on ECB governing council
BoJ sticks to ultra-loose monetary policy
Japan’s inflation has exceeded 2% target for a year, but central bank is unconvinced it is sustainable
BoJ’s easing stance fuels yen undervaluation dilemma
Japanese policy-makers need to consider feedback loop that an undervalued yen has on cost-push inflation; reflect on YCC exit options in ‘broad perspective review’, writes Sayuri Shirai
ECB raises rates again and signals more tightening
Tight labour market and core inflation surprises have driven forecasts higher, Lagarde says