Financial Stability
BIS economists identify indicators of systemic risk
Bank for International Settlements research points to size as most reliable indicator of systemic importance, ahead of interbank lending and borrowing
BoJ leaps to action to soothe quake fears
Bank of Japan moves to assure investors that financial infrastructures are still working; central bank will work to maintain smooth liquidity, settlement conditions
IMF paper on foreign credit expansion in European EMEs
Fund study finds evidence of significant increase in level of foreign credit growth in emerging European countries
Foreign currency loans in EMEs supply driven: SNB paper
Swiss National Bank study finds evidence that the level of pre-crisis foreign currency loans in Bulgaria was partly supply driven
Wealth main determinant of bank service distribution: SNB paper
Swiss National Bank study says amount of bank account holders is directly correlated to wealth
RBA’s Lowe on policy implications of Australia’s higher terms of trade
Reserve Bank of Australia assistant governor Philip Lowe warns against changing the structure of the economy to reflect rise in terms of trade
AIG makes $15.7 billion offer for Maiden Lane II
New York Fed receives formal offer for bailout vehicle containing AIG’s residential mortgage-backed securities portfolio; insurer in bid to reduce debt to Washington
Canada to launch first polymer note this year
Bank of Canada set to issue new C$100 polymer banknote in November 2011; says entire series will be unveiled in the spring
Markets wobble as Spanish downgrade, eurozone fears bite
Moody’s one notch Spanish downgrade exacerbates investor jitters a day before European Council meets to discuss EFSF, ESM, bailout renegotiations
Clarity, access to information key to financial market infrastructure oversight, say regulators
Consultation report from CPSS and Iosco says central banks, market regulators need clear, specific information to determine which financial market infrastructures need regulation
Libya’s Bengdara pleads for softer sanctions on central bank: report
Central Bank of Libya governor Farhat Bengdara tells Wall Street Journal he is lobbying for some leniency on central bank sanctions; says cannot return to Tripoli
Australia’s Stevens calls for collective effort to rebalancing global economy
Reserve Bank of Australia governor Glenn Stevens says advanced economies must utilise excess supply to help boost domestic demand in Asia
CPSS-Iosco proposes risk standards for CCPs
Central counterparties should be ready for failure of one or two largest customers, regulators suggest
European parliament embraces Tobin tax
Lawmakers throw their weight behind Tobin tax on financial transactions; say global difference of opinion should not stop Europe implementing levy
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