Monetary policy
Insurers play key role in monetary transmission – IMF paper
Authors show sensitivity to long end of yield curve is “causally connected” to risk premia
Forward guidance ‘partly to blame’ for inflation – panel
ECB should do more scenario planning, revise collateral rules and incorporate Taylor principles
ECB framework needs ‘few tweaks’ – panellists
Digital euro is “even more important” in the wake of Trump CBDC ban, says BdF governor
Bank of Canada cuts rates by 25 basis points
Monetary policy “cannot offset the impacts of a trade war”, says central bank
Pakistan pauses easing cycle after six consecutive rate cuts
Central bank says high core inflation could still drive up overall price levels, despite fall in headline figure
MNB to follow ‘disciplined, patient policy’ – new governor
In first speech since taking office, Varga says bank will closely monitor food and service inflation
European Central Bank continues easing with 25bp cut
Revised forecast points to stunted growth, as Lagarde says bank is operating in “high uncertainty”
BIS paper explains monetary policy’s impact on long-run rates
Authors say “forgiving” economy allows central bankers to set policy without clear view of r*
Tighter policy in 2021 would have had ill effects – NY Fed study
Authors argue inflation would have fallen only modestly while global demand would have suffered
Bank of Israel holds rates ahead of budget approval
Decision follows rise in inflation, driven by tax rises to fund ongoing military operations
Egypt holds rates at 27.25%
Central bank projects gradual decline in inflation, but points to upside risks from US tariffs
Upside risks from Trump tariffs prompted Fed to hold rates
FOMC minutes show that January’s decision was partly informed by potential changes in US trade policy
ECB board members express regret over QE stimulus
Cipollone says unwinding balance sheet thwarts rate cuts, while Schnabel wants “less activist” bank
Fed governors differ on best way to deal with Trump uncertainty
Waller says monetary policy can’t be “put on hold”, but Bowman calls for wait-and-see approach
China to focus more on consumption, says PBoC governor
Pan Gongsheng wants domestic demand to be “key driver of growth”
Bank of Russia holds rates
Inflation ticks up as central bank updates forecast again
Rwanda holds rates at 6.5%
Central bank expects inflation to remain within target
Powell: ‘We’re close, but not there yet on inflation’
Fed chair also addresses bank independence, climate risk and CBDCs during testimony before Congress
Zambia raises rates amid persistently high inflation
Central bank does not expect 6–8% target to be reached until at least 2027
European politicians clash over ECB review, climate, digital euro
Report on bank’s performance critiques climate mandate, loss of purchasing power
Bigger rate cut would have sent clearer signal, says BoE dissenter
MPC member says UK’s economic outlook would have justified 50bp reduction
Central bankers from Americas respond to Trump’s tariff shock
Canadian, Mexican, Colombian and Fed governors speak of post-Covid realities at BIS conference