Risk
Bank of Canada extends rate hold as trade war intensifies
Macklem says surprise uptick in growth is fragile thanks to new US tariffs and high petrol prices
MAS proposes changes to Singapore’s stablecoin regulations
Amendments would see multi-jurisdictional and foreign stablecoins recognised
Warsh declines to outline Fed’s reaction function
Chair tells Jackson Hole that ‘humble, never naïve’ approach will work and assesses US economy
Botswana keeps rates steady, Rwanda hikes by 50bp
Rising inflation drives east African nation to raise bank rate to highest level since 2009
Book notes: The almighty dollar, by Brendan Greeley
The history of the currency that came to be ‘the dollar’ is the centrepiece in an otherwise confused book
Philippines tightens policy as inflation fight continues
Analysts believe decision marks end of BSP’s current policy cycle
BoK delivers second consecutive rate hike
Central bank forecasts stronger growth as inflation remains above target
The implications of AI on monetary policy
AI advances represent a demand pressure today and a potential positive supply shock tomorrow, argues the National Bank of Romania’s Leonardo Badea
Financial inclusion improving in Tajikistan, says World Bank
Country head says institution’s partnership with central bank is also improving corporate governance
Exim shutdown stymied US firms’ export earnings – paper
Shutting down export credit agency led to large capital misallocation, Atlanta Fed researchers say
Visa joins MAS’s Bloom
Payments router announces participation in multi-currency tokenised deposit and stablecoin project
China’s growth model may deepen tensions with US – paper
PIIE research says economic policies driven by ‘national security logic’ may be contradictory
High debt raises ‘macro-financial’ risks in Americas – BIS study
Bulletin says interest costs can result in risk premia feeding into inflation expectations
Over 90% of Japan’s financial institutions use GenAI – BoJ
Most tell central bank survey that technology is usable but needs improvement in all areas
BoE backs away from mandatory gilt clearing
Discussions with industry shift to portfolio-based repo haircuts and ways to encourage voluntary clearing
Jamaica and Uruguay hold rates
Central banks cite deteriorating geopolitical tensions and extreme weather as upside inflation risks
Warsh called for fewer FOMC meetings in July
Minutes show committee agreeing on above-target inflation but disagreeing over AI’s effect on prices
Reconsidering the role of money in monetary policy
Euro policy architect Otmar Issing argues that central banks must improve their flawed inflation targeting frameworks
Europe’s stability at risk if AI bubble bursts – ECB blog
Correction could freeze functioning of continent’s financial markets, say central bank economists
Brazil’s central bank shuts down two lenders
Move comes amid broader clean-up of country’s weakest financial institutions
ECB finds gaps in geopolitical stress-testing frameworks
Current methods fail to properly capture impact of geopolitical stress on liquidity