Macro-prudential policy
Swiss authorities ink deal on crisis collaboration
Swiss National Bank, finance ministry and regulator sign memorandum on supervisory cooperation
PBoC’s Zhou on market-based interest rate reform
People’s Bank of China governor Zhou Xiaochuan outlines the conditions for market-based interest rate reform
Israel’s Fischer on the meaning of macroprudential policy
Bank of Israel governor Stanley Fischer stresses importance of interconnections in interpreting the macroprudential mandate
Capital flows drive financial imbalances: IMF study
Fund paper says capital inflows are main factor behind financial imbalances, with effects worsened by insufficient oversight
Macroprudential policy – a literature review
Research reviews latest developments, poses future questions
Riksbank’s Nyberg challenges Svensson over monetary policy framework
Riksbank deputy governor Lars Nyberg says monetary policy must support macroprudential policy; comments contrast with Svensson’s calls for monetary policy to focus on price stability
Countercyclical measures key to stemming Indian inflows: Strauss-Kahn
IMF managing director Dominique Strauss-Kahn says adoption of countercyclical macroprudential measures eased capital inflows to India
Brazil raises reserve ratio to ease impact of capital inflows
Central Bank of Brazil lifts reserve requirement ratio in bid to stem inflationary pressures resulting from capital inflows
Lender of last resort function essential: Norges Bank’s Qvigstad
Norges Bank deputy governor Jan Qvigstad says central bank’s lender of last resort role was critical during the financial crisis
Communicating macroprudential policy
A sound communications strategy can enhance the impact of macroprudential policy actions and build the political support needed for such steps, Tim Ng writes
White emphasises use of Austrian school in policymaking
Bank for International Settlements former economic adviser William White says use of Austrian school assumptions about the financial system could help prevent further crises
PBoC’s Zhou wants enhanced macroprudential policy in China
People’s Bank of China governor Zhou Xiaochuan says macroprudential policy must keep pace with the country’s financial growth
G20 calls for bigger, better FSB to carry reform agenda
G20 leaders at Seoul summit identify areas in which further progress in needed, calling on Financial Stability Board to take the lead and drive reform; ask FSB to report on what extra resources it needs
New Fed office to aid stability, macroprudential efforts
Federal Reserve sets up financial stability policy office to coordinate institution-wide analysis on stability risks; J. Nellie Liang named director of office
Bundesbank’s Dombret calls for international effort to close information gaps
Bundesbank executive board member Andreas Dombret says international approach will address information gaps in shadow banking sector
Bolivia’s Tellería on central banks and regulation
Central Bank of Bolivia acting president Gabriel Loza Tellería says central banks must take part in prudential regulation; need new macroprudential mandate
G30 unveils macroprudential manual
Group of Thirty recommends dual approach to macroprudential policy; says combination of fixed and flexible tools will equip supervisors to address systemic risks
Fed’s Yellen: macroprudential policy must balance rules and discretion
Federal Reserve vice chair Janet Yellen says macroprudential supervisors should be guided by fixed rules, but have discretionary capacity to surprise firms
BIS’s Caruana says central banks have pivotal role in regulation
Bank for International Settlements general manager Jaime Caruana says central banks are best placed and have the necessary expertise to regulate markets
González-Páramo: macroprudential policy implementation a work in progress
European Central Bank executive board member José Manuel González-Páramo says policymakers must understand full effects of macroprudential policies
Too big to fail solution essential, says Weber
Bundesbank president Axel Weber says financial system will be unsafe unless too big to fail problem is solved
ESRB big leap for Europe: Trichet
European Central Bank president Jean-Claude Trichet says launch of European Systemic Risk Board indicates significant progress in regulatory architecture
CNB creates stability wing in bid to beef up systemic oversight
Czech National Bank separates financial stability and economic research department; says independent department move will enhance financial stability mandate
ECB: excess liquidity expansion induces financial fragility
European Central Bank study shows that over expansion of credit can lead to increased fragility in financial markets