Monetary Policy
PBoC denies reserve ratio rumour and seeks police investigation
PBoC denies widespread market rumour that it plans to cut the key reserve ratio starting from April 1
Mexico keeps rates at 10-year high despite global slowdown
Above-target inflation is the main focus for the Bank of Mexico
Pakistan starting to recover from imbalances – SBP
Central bank hikes policy rate while highlighting some signs of improvement in the external balance; IMF mission chief meets authorities for initial programme talks
Costa Rica makes about-turn on interest rates
Central bank reverses November hike as inflation concerns tip towards the downside
Namibian government proposes to cap its borrowing from central bank
Finance minister asks for five-fold increase to central bank’s capital to pay for new responsibilities
Kenyan High Court strikes down law capping interest rates
But court rules law did not infringe central bank’s mandate and says caps could be brought back
Bank of Jamaica cuts policy rate again
Central bank aims to get inflation back to target range by December 2020
Draghi says ECB could further delay rate hike as inflation disappoints
Weaker growth forecast contributed to reduction in central bank inflation forecast to 1.6% in 2021
Nigerian central bank cuts rates as governor’s future remains unclear
Pressures on emerging markets are major factor behind rate cut, MPC says
RBNZ signals future rate cut on international weakness
Looser policies in the US and eurozone are putting upward pressure on New Zealand dollar
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
Fed’s rate pause puts pressure on BoJ
Fed’s dovishness could pull JGB yields lower and put upward pressure on the yen
Paraguay cuts rates on global instability
Central bank reduces interest rates by 25 basis points to 4.75%
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
Swiss National Bank sharply lowers inflation expectations
Central bank may have reached limits of monetary policy, observer argues
BoE on hold as Brexit weighs on outlook
Policy-makers point to weak investment and continued uncertainty