Monetary policy
Turkey’s monetary policy will depend on fiscal caution, central bank says
Minutes say MPC could further tighten policy if the government fails to deliver on promises
Summers and Rachel set out fresh evidence on secular stagnation
Policy-makers may need to rethink their approach in a world of ultra-low real rates, authors say
Climate change matters for monetary policy – RBA’s Debelle
More frequent and acute climate disruptions need inclusion in economic models
NY Fed activates motion to dismiss TNB’s lawsuit
“The relief TNB seeks is wholly incompatible with the public interest” – New York Fed
IMF urges Bank of Korea to pursue ‘accommodative policy stance’
Fund urges central bank to implement “light” macro-prudential policies
BoE economists find CBDC could permit helicopter money
Helicopter drop could be feasible without losing control of rates but may still be unwise, authors say
Fed IOER amendment aimed at ‘thwarting’ The Narrow Bank
The move appears to specifically target The Narrow Bank’s business model, the firm says
Draghi unveils new bank funding as ECB forecasts slower growth
Forward guidance extended and third round of TLTROs introduced as Draghi warns of uncertainty
Weak pass-through may shield UK from sudden rate rise – BoE’s Saunders
Central banks may start to lose control of policy transmission even above lower bound, says MPC member
ECB’s negative rates increased eurozone credit supply – IMF paper
Cuts above zero lower bound did not have same effects on banks, researchers find
Two FOMC members signal Fed may hold rates steady
New York and Boston Fed presidents expect US growth to slow to 2% this year
Central bank outlook is key to rate decisions’ impact – Bundesbank paper
“Pure policy” and “information” shocks have very different effects on economy, researcher argues
Bank of Canada keeps rates unchanged on weaker economic outlook
The central bank thinks it is still necessary to keep policy rate below its neutral range
China resorts to fiscal policy to stimulate slowing economy
China says it plans more fiscal stimulus while maintaining prudential monetary policy
EMEs have limited policy independence if open to capital flows, researchers find
Alternative policy tools can be deployed to overcome the dilemma, the authors say
Markets still in thrall to central banks – BIS
But some apparent anomalies may be signs of healthier market function, says Claudio Borio
Malaysia keeps rates unchanged on lower inflation pressure
Interest rates remain at 3.25% as lower oil prices keep headline inflation under control
BIS book outlines macro-financial policy framework
“Integrated inflation targeting” would combine policies for maximum effect, authors say
Costa Rica has significantly improved inflation targeting – IMF staff
IMF report welcomes end to governors’ terms being linked to presidential elections
Bernanke argues for ‘time-limited price targeting’ policy framework
Committing to make up inflation shortfalls in past year would avoid overshooting, paper finds
Brazilian senate confirms new central bank president
Roberto Campos Neto arrives to the Central Bank of Brazil after 18 years at Banco Santander
NBKR cuts rates as deflation bites
Broad-based drop in prices prompts 25bp rate cut
BoE ramps up liquidity auctions as Brexit looms
Central bank will conduct additional auctions of long-term sterling liquidity around the March 29 deadline; MPC members disagree on approach to no-deal uncertainty
Bank of Israel confirms looser stance
After first rate hike since 2011 in November, the central bank reaffirms accommodative approach