Central banks face loss of independence – Central Banking survey
Cyber risks and lax supervision are biggest threats to financial stability
Central banks and the financial system are set to face some substantial challenges in the years ahead. The most obvious stem from the inability of central banks to normalise interest rates and reduce their balance sheets more than a decade after the global finance crisis. This means their primary arsenal to tackle the next crisis is already significantly depleted.
At the same time, central banks need to adapt and manage opportunities and threats to money and the financial system. There are
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