Financial Stability
IMF should have come to emerging markets’ rescue: DSK
International Monetary Fund managing director Dominique Strauss-Kahn says it should have been the Fund, not the Fed and other central banks, which provided swap lines to emerging markets in the crisis
Bank of Japan – Financial Markets Report
Japanese central bank’s report says Dubai crisis shed light on sensitive investors still were, notes that while accommodative policies soothe some market players, others worry about flows to emerging markets
Singapore moots expanding deposit guarantees
Monetary Authority of Singapore proposes extending scope and limit of deposit protection as it nears exit from an emergency guarantee adopted at the height of the crisis
Bulgaria relaxes capital adequacy rules
Bulgarian National Bank announces adoption of further countercyclical capital measures, reducing risk weights on retail and real estate exposures by 25 and 15 percentage points
Fed is investigating Goldman, hedge funds: Bernanke
Federal Reserve chairman Ben Bernanke says the central bank is looking into cross-currency swaps carried out by Goldman Sachs alleged to have helped Greece hide the extent of its debt
Export recovery will lose speed: BoJ’s Yamaguchi
Bank of Japan deputy governor Hirohide Yamaguchi says pace of export and production recovery to slow, but economy will gain momentum in the summer
Central Bank of Ireland – Developments in Private Sector Credit
Irish central bank’s note shows private sector credit continued to shrink, and lending both to banks and non-banks dropped in the final quarter of 2009
Discount hike was to discourage reliance on Fed: Bernanke
Federal Reserve chairman Ben Bernanke reiterates the central bank’s stance that its recent discount rate hike was in no way a policy tightening, flags term deposit facility
Ex-Bank Indonesia head accused over bailout
Inquiry into bailout of Century Bank raises questions into Bank Indonesia’s handling of regulation; allies of president round on former central bank governor and finance minister
King on QE: we’ve filled a hole
Bank of England governor says pumping £200 billion into economy averted “very serious contraction” in money supply; flags concerns over eurozone’s stuttering recovery
Focus on fundamentals outperforms carry trades: IMF paper
International Monetary Fund paper finds that an investment strategy determined by analysis of the real effective exchange rate ultimately does better than one that relies on borrowing cheap and lending at higher rates
Rogoff predicts wave of sovereign defaults
Greece will not be the only country to face threat of bankruptcy, ex-IMF chief economist Kenneth Rogoff warns
Bank of England – Trends in Lending (February)
Bank report shows lending to businesses, home buyers and consumer remains constrained
Fiscal cuts must precede monetary tightening: IMF
International Monetary Fund notes fiscal consolidation is by far the biggest concern; suggests central banks maintain large balance sheets for time being
Harare will keep multi-currency system till 2012: minister
Economic planning minister says the country will continue using the rand, dollar and pula among others for the time being
Bank of Uganda – Financial Stability Report
Ugandan central bank publishes inaugural report detailing the health of the financial sector and documenting policy moves taken to combat the crisis
Corporate bond activity booming in Singapore: MAS executive director
Monetary Authority of Singapore executive director Kola Luu says the island is considered a gateway to major markets in South and East Asia
When experts fail
Frank Vibert explores the lessons of the crisis for regulators. The key is not to re-politicise markets but to improve the disciplines that regulators follow
Audit the Federal Reserve?
An independent institute for monetary statistics is needed in the United States, says William Barnett. Expanded congressional audit would be a second best alternative.