Monetary Policy

ECB'S Welteke assumes U.S. still wants strong dlr

European Central Bank council member Ernst Welteke said on Feb 17, 2001 that he could imagine the United States would remain interested in a strong dollar, according to a spokesman for the central banker. Welteke said a strong dollar policy would help…

BoE's George says may have to pen inflation letter

Bank of England Governor Sir Edward George said on Feb 17, 2001 it was possible inflation in Britain would stray a full point away from its target, meaning he would have to write to the government explaining why. UK inflation currently stands at its…

Duisenberg can draw satisfaction from G7 meeting

For European Central Bank President Wim Duisenberg, Feb 17 meeting with the G7 godfathers of global finance in Palermo must have been a thoroughly satisfying experience. None of the finance ministers from the Group of Seven leading industrial countries…

Dissent erupts between government, Bank of Japan

Simmering differences between the government and the Bank of Japan over how to revive the economy burst into the on Feb 16, 2001 on the eve of a high-profile meeting of finance ministers and central bankers of the world's seven richest nations. Finance…

Korea c.bank head warns of overheating treasuries

Central Bank of Korea Governor Chon Chol-hwan said on Feb 16, 2001 the local treasury market was showing signs of overheating, comments analysts saw as a bid to shift interest to flagging corporate bond issues. Chon said in a statement the treasury…

Mongolia January inflation jumps 5.5 pct from Dec

Mongolia said on Feb 16, 2001 its monthly inflation jumped 5.5 percent in January 2001 compared with December 2000, mainly because of a rise in food and energy prices. The central bank's Monthly Bulletin of Statistics said the rent and energy price index…

Philippine c.bank leaves rates unchanged

The Philippine central bank decided on Feb 16, 2001 to keep its benchmark overnight interest rates unchanged, saying it preferred to monitor U.S. Federal Reserve moves on rates in the next couple of weeks before acting. The key rates were last reduced by…

Zimbabwe reneges on pledge to limit RBZ overdraft

The Zimbabwe government, caught between the need to reduce the cost of its domestic borrowings and its insatiable appetite for funds to fund its recurrent expenditure, plans to waive the 20 percent limit on its overdraft facility at the central bank as…

New FRBNY research on exchange rates and wages

New research from the Federal Reserve Bank of New York by Linda Goldberg and Joseph Tracylooks at the effects of exchange rate fluctuations across the population - important in increasingly globalized economies. They offer an explanation of the…

British public see EMU membership as inevitable

According to a new poll reported by GrahamBishop.com, the British public sees EMU membership as inevitable by 2010 and the government is expected to take the lead on pushing for the benefits of EMU participation. The report also contends there has been a…

Indian industry cheers central bank's rate cuts

Indian industry cheered the central bank's decision on Feb 16, 2001 to lower interest rates, saying it would help ease the country's industrial slowdown. The Reserve Bank of India (RBI) said it was cutting its benchmark bank rate to 7.5 percent from 8.0…

Norway downplays cbank critique of state ownership

Reaction in Norway's Labour government to central bank governor Svein Gjedrem's sharp criticism of state ownership in Norwegian companies has been muted so far. A spokeswoman for the Finance Ministry said Feb 16, 2001 there are no plans to issue an…

Colombian cbank leaves mon pol unchanged

Colombia's central bank board on Feb 16, 2001 said it wouldn't change monetary policy as recent inflation figures are satisfactory and future goals look attainable. "Given the good performance of the observed and projected inflation rate, the board of…

Irish cbank governor nominated for another term

Ireland's Minister for Finance Charlie McCreevy on Feb 16, 2001 said he has formally asked the president of Ireland, Mary McAleese, to re-appoint Maurice O'Connell as governor of the Central Bank of Ireland for another seven-year term. O'Connell, 65,…

Large value Taiwan note will not trigger inflation

The issuance of a new NT$2,000 note in July 2001 will not trigger inflation, a financial official said Feb 16, 2001. In an attempt to allay fears that the debut of the large-denominated note will accelerate inflation, Wu Shaw-chii, director-general of…

O'Neill signals hands-off stance on world economy

Paul O'Neill, the U.S. Treasury secretary, on Feb 14, 2001 indicated the new Bush administration would take a strongly skeptical view of official intervention in global markets to help stabilize the world economy, the Financial Times reported in its Feb…

Interview: BoE's MPC member Sushil Wadhwani

Sushil Wadhwani, an "external" member of the monetary policy committee of the Bank of England, explains why he is a "productivity optimist". Over the last decade, forecasters have systematically underestimated GDP growth in the UK and simultaneously…

Chad's economy minister dies in plane crash

Chad's minister for economic development died in a plane crash as he returned from a board meeting of the regional central bank in Congo Republic, government sources said on Feb 15, 2001. In addition to the minister, Ahmat Lamine Ali, a senior government…

IMF's Koehler sees Europe 2001 growth exceeding US

International Monetary Fund Managing Director Horst Koehler said on Feb 15 he saw European GDP growth in 2001 of some three percent against two percent expected for the United States. In a wide-ranging conversation with Italian business daily Il Sole 24…

Swedish cbank board member mulled rate cut-minutes

Sweden's central bank, or Riksbank, said on Feb 15, 2001 its board, which sets monetary policy, had agreed unanimously at its last meeting on Feb 1, 2001 to keep the key repo rate unchanged at 4.00 percent. During the monetary policy discussion, however,…

Fed's Broaddus-Odds high US economic recovery near

The odds that the U.S. economy will recover soon are "reasonably high," Federal Reserve Bank of Richmond President Alfred Broaddus said on Feb 15, 2001. Broaddus told reporters after addressing a forum sponsored by Bennett College and the Greensboro…

Turk cenbank chief sees slower inflation in Q2

Turkish inflation will drop to one percent monthly or less from summer 2001 as a $4 billion IMF-backed plan to cut chronic high inflation progresses, Central Bank head Gazi Ercel said on Feb 15. In an interview, Ercel said a slowdown in the economy and…

Romanian CPI trend downward despite Jan spike-BNR

Inflation in Romania continued at a faster-than-desired pace over the past year but its underlying trend remains downward despite a January 2001 consumer price inflation spike, the central bank (BNR) said on Feb 15, 2001. "Data showed a slower-than…

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