Articles by Central Banking staff
Regtech strategy still lacking in majority of central banks
Stress testing, AML/CFT risk and reporting are top areas of application
Pandemic inflation fuelled by food and energy prices – BoJ study
Inflation in Japan and US driven by similar product market shocks, research finds
Suptech strategy adoption remains below 50%
Resource constraints and data quality issues are still barriers
Nearly all central banks see CBDC as environmentally friendly
Few jurisdictions see initiative as comparable to banknotes’ lifecycle
Central banks fear CBDC will heighten cyber threats
European jurisdictions less likely to be deterred by security concerns
Improving domestic payments efficiency drives retail CBDC research
Barriers to adoption include concerns around privacy, disintermediation and operational risk
Wholesale CBDC work remains less popular than retail
Like retail, central banks say domestic payments efficiency is key driver
One in four central banks exploring blockchain, DLT and tokenisation
No respondents say they are researching or collaborating on quantum computing
Cyber security and adapting legacy systems are top tech challenges
Recruiting talent and regulating the fast-paced sector are also difficult
Legal mandates for CBDC issuance remain rare among central banks
Some await parliamentary approval as framework examination commences in their jurisdictions
Fintech Benchmarks 2024 Charts
Take a deep dive into the Fintech Benchmarks charts, which have just been released for 2024.
More than half of central banks have a fintech strategy
Implementation challenged by poor regulation and talent scarcity
Central banks face challenges in hiring and retaining fintech staff
Over half of institutions recruit fintech professionals internally
Risk Management Benchmarks 2024 – executive summary
Data reveals central banks’ risk governance structures and strategies, as well as the top risks in 2024
ISO 31000 and COSO–ERM remain central banks’ leading standards
Central banks from high income countries less likely to use COSO–ERM
Mean risk management salary greater in high income countries
Salaries average $72,738 in rich countries but $33,464 in upper-middle income nations
Wage growth ‘has not impacted US inflation’, says Boston Fed
Study finds pay still has some way to go before reaching a level that would affect consumer prices
Most central banks have difficulty hiring skilled cyber security staff
Respondents highlight pay disparity, skills gap and technological advancements as factors
Monetary policy is tight enough, says head of Atlanta Fed
Raphael Bostic said he expects rate cuts in Q3, but could advocate for them sooner
Exit rate of risk management staff averages over 10%
Workers in middle income institutions tend to leave at a higher rate
Operational and financial risk units have largest staff
Upper-middle income institutions have largest average total number of risk employees
Cyber security remains critical concern for risk managers
High income central banks put greater emphasis on market and credit risks
Enterprise-wide risk management widespread among central banks
Few institutions maintain use of department-level and damage limitation approaches
Most central banks lack climate risk units
Just under half of institutions say they have difficulty hiring staff with matching skills