Financial Stability
NY Fed’s Krieger: liquidity backstop for shadow banks vital
New York Federal Reserve executive vice-president Sandra Krieger stresses importance of backstop measures to reduce systemic risk arising from shadow banking activities
Bank of England - Payment Systems Oversight Report (March 2011)
Bank of England’s March 2011 Payment Systems Oversight Report says further steps could be taken to reduce risks in UK payment systems
EBA’s stress test scenarios revealed: reports
Leaked documents set out scenarios for new round of European bank stress tests
Korea’s Kim outlines obstacles to financial surveillance
Bank of Korea governor Kim Choong-soo articulates difficulties in financial sector surveillance, global policy coordination
Zambia’s Fundanga on banking sector
Bank of Zambia governor Caleb Fundanga says giving central bank licensing authority was key
Fund’s DSK on meshing monetary and regulatory tools
Policymakers are looking to academia to help see how macroprudential policy might affect central banks’ independence, IMF managing director Dominique Strauss-Kahn says
RBI launches investigation into shadow banks
Reserve Bank of India says non-banks have now become systemically important
BoJ’s Nishimura stresses importance of multiple approach to monetary system
Bank of Japan deputy governor Kiyohiko Nishimura says financial crisis showed one-size-fits-all approach to international monetary system failed
BIS’s Caruana makes distinction in measurement of capital inflows
Bank for International Settlements general manager Jaime Caruana emphases focus on gross rather than net flows to measure capital inflows
Subprime market victim of housing bubble: Philly Fed paper
Philadelphia Federal Reserve study says bubble conditions in the housing market spurred subprime lending
Crisis measures assisted financially distressed firms: IMF paper
Fund study says crisis recapitalisation policies helped provide financially dependent firms access to credit
What central bankers can learn from the school of science
It is not only science's methods, but its desire to de-mystify that should be aped, Claire Jones writes
ECB’s González-Páramo calls on central banks to reinvent risk strategies
European Central Bank executive board member José Manuel González-Páramo says central banks must re-think their risk management framework; moots new toolkit
Basel III reduces output volatility: NY Fed paper
New York Federal Reserve study says rise in capital buffers leads to decline in output and output volatility
EBA to launch new stress tests
European Banking Authority unveils timeline for second round of EU-wide stress tests with launch set for Friday; first executive director and internal committee named
FX flexibility can act as buffer to hot money: IMF’s Shinohara
IMF deputy managing director Naoyuki Shinohara encourages emerging markets to adopt more flexible exchange rates to help curb flow hot money
Consumer behaviour influences financial distress: ECB paper
European Central Bank study shows individuals’ behavioural traits may contribute to level of financial distress experienced by consumers
Investment grade status provides premium: IMF paper
Fund study shows upgrade to investment grade status leads to sharp decline in sovereign spreads
Map of global banking network shows climb in contagion since late 1980s
Bank of England paper uses BIS banking stats to show potential for cross-border contagion has been rising for past two decades, reaching its apogee at the time of the Lehman Brothers’ collapse
SNB to close Geneva office as cash distribution services are outsourced
Swiss National Bank says Geneva office will close next year as cash distribution services to be carried out by private firms; fifteen staff affected by closure
Efficient markets’ failure hamstrung central banks: CentralBanking.com panel
Reliance on efficient markets hypothesis to develop policy frameworks must be reversed, LSE’s Brandon Davies and Fathom director Danny Gabay argue
National Bank of Hungary – Lending survey (Q4 2010)
National Bank of Hungary’s fourth quarter of 2010 lending survey shows unexpected tightening of credit conditions in Hungary
Loan-to-value ratios effective macroprudential tool: HKMA paper
Hong Kong Monetary Authority study finds evidence in support of loan-to-value ratios as a macroprudential tool
King warns of delay in switch to new regulatory regime
Bank of England governor Mervyn King says correct implementation of regulatory reforms takes precedence over achieving deadlines