Operating framework
Atlanta’s Bostic lays out case for central banking with ‘ample’ reserves
Floor system performing well and has benefits, says Atlanta Fed president; Harker and Rosengren argue for shift in balance sheet composition
RBI swap operation heavily oversubscribed
Unusual move to inject long-term liquidity into the system draws strong demand from the market
Book notes: Floored!, by George Selgin
Michael Reddell remains unconvinced the Fed’s introduction of the IOR prolonged the recession, but credits Selgin’s argument the IOR policy made the central bank a more powerful credit lender
IMF demands Ecuador end monetary financing
Central bank will need to cover liabilities vis-à-vis banks with international reserves
IMF urges Seychelles central bank to limit forex interventions
Mission chief Amadou Sy urges regulator to remain “vigilant” to inflationary pressures
BIS paper studies high-frequency data on central bank intervention
Sterilised foreign exchange interventions can help to slow credit growth, authors find
NGDP target can create ‘divine coincidence’ – Bullard and Singh
Nominal GDP targeting can “repair” distortions from credit market frictions, authors find
Fed IOER amendment aimed at ‘thwarting’ The Narrow Bank
The move appears to specifically target The Narrow Bank’s business model, the firm says
Bernanke argues for ‘time-limited price targeting’ policy framework
Committing to make up inflation shortfalls in past year would avoid overshooting, paper finds
Monetary policy frameworks need modifying, former Fed governor says
Lower r* requires two key modifications to flexible inflation-targeting regimes, Frederic Mishkin says
Philippine central bank handed new stability powers and mandate
Act removes money supply and credit as determinants for monetary policy in addition to granting central bank broader supervisory scope
CBRT cuts reserve requirements, but stresses tight stance
Liquidity tools are more about transmission than policy stance, says Murat Çetinkaya
RBNZ adopts new dual policy target
New Zealand’s central bank will now have maximum employment target alongside inflation goal
Jamaica’s Wynter says forex volatility is nothing to worry about
Central bank uses social media to calm markets after forex intervention
PBoC denies that new liquidity tool is a ‘form of QE’
Central bank bills swap is essentially quantitative easing, says one analyst
CBSL resorts to monetary financing amid wait for IMF talks
Central bank promises loan to government will be unwound in the first quarter of 2019; IMF talks scheduled for mid-February
NY Fed’s Williams advocates change to inflation-targeting framework
But Don Kohn prefers to keep status quo with some supplementary policies
Coomaraswamy sees hope for IMF programme as political crisis fades
Sri Lankan Prime Minister reinstated, paving the way for economic reforms; central bank close to adopting flexible inflation target
US interbank market may not recover from QE – Fed paper
Authors warn shrinking the Fed balance sheet might not be enough to revive the market
Icelandic central bank questions reform proposals
Publishing rate paths may not work as intended, external MPC members warn
Sarb says new interest rate benchmarks may be calculated with ‘actual’ transactions
Current benchmark rate based on flawed market data, South African central bank says
IMF advises Ethiopia central bank to stop financing government
Central bank’s tighter monetary policy should be supported by end to monetary financing – IMF
IMF urges Bank of Papua New Guinea to depreciate currency
Fund offers words of warning to island nation over exchange rate woes
Riksbank’s Jansson says he favours higher inflation target
Swedish deputy governor reflects on monetary policy options to deal with next crisis