Financial Stability
Euro area leaders thrash out Greece deal
Leaked document shows euro area leaders agree to extend maturities on Greece loans through European Financial Stability Facility; compares second bailout for Greece to Marshall plan
Fed aims for summer Sifi regulations
Bernanke says Fed expects to issue proposed rules on Sifi oversight this summer; also 'on schedule' to implement Basel III
New Zealand prepares to overhaul banknotes
Reserve Bank of New Zealand outlines plans to upgrade New Zealand’s banknotes
BoE - Trends in Lending (July 2011)
Bank of England July 2011 Trends in Lending report shows the number of loans extended to businesses in the UK declined by $6.4 billion
Iranian public votes on currency reform
Preliminary results show name of currency will change and four zeros will be removed from value
Basel targets 28 banks with GSIB surcharge
Basel Committee says 28 banks will be required to hold additional loss-absorbency capital under proposed methodology for identifying global systemically important banks
Euro area leaders face tough choices over Greece
Crucial euro area summit to address funding of second Greece bailout to be held; terms for private sector involvement on agenda
Bank of Italy – Economic Bulletin (July 2011)
Bank of Italy July 2011 Economic Bulletin says risks from European sovereign debt crisis have spread to Italy
IMF paper builds financial conditions index
Fund study creates financial condition index to help predict growth patterns in Asian economies
Progress made on information gap project
IMF and FSB report 'considerable' progress on implementation of information gap recommendations
Euro counterfeit figure drops
European Central Bank releases counterfeit figures; 18.8% decrease in notes found
Exogenous financial shocks should factor into monetary policy: Dallas Fed paper
Dallas Federal Reserve study says exogenous financial shocks should be incorporated into monetary policy decisions
Hedging strategies in periods of financial stress: IMF paper
Fund study shows that hedging strategies can reduce volatility during volatile periods but not necessarily in tranquil times
South Sudan enacts central bank law
Bank of South Sudan becomes central bank; new currency to be floated in a ‘managed’ way
Sovereign default risks amplify supply shocks: IMF paper
Fund study incorporates sovereign default risks into a general equilibrium model
Draghi says sovereign credibility must be earned
Bank of Italy governor Mario Draghi says solvency of euro area countries must be earned by putting public finances in order
Brazil holds first Financial Stability Committee meeting
First meeting held over a month later than planned; comes in same week governor addresses New York audience for the first time and discusses rising inflation
ECB “sidelined” in sovereign crisis debate, says analyst
Eurogroup lays out plans to provide bail-out fund with greater flexibility to address sovereign risks; analyst says message sends signal European Central Bank is being “sidelined” in discussion
Germany and China heighten cooperation
People’s Bank of China and Deutsche Bundesbank meet in Frankfurt to discuss financial stability and trade partnership; China stresses confidence in euro area
RBI's Gokarn on new financial stability empahsis
Reserve Bank of India deputy governor Subir Gokarn says financial stability can be jeopardised in environment of price and macroeconomic stability
Non-performing loans pose severe risk to advanced economies: IMF paper
Fund study finds evidence of strong link between level of non-performing loans and macroeconomic activity in advanced economies
UK abandons plan to end cheque use
Method of payment will exist for “as long as customers” need, says Payments Council
China insists local government debt is ‘manageable’
People’s Bank of China dismisses claims local government financing vehicles owe 14 trillion yuan; says risks from the debts are manageable
US will resolve debt crisis by August 2: Obama
President Barack Obama says failure to raise the US debt ceiling would be “not acceptable”