Central Banks
Constâncio sets out ECB's priority tasks in European banking union
European Central Bank vice-president aware of reputational risks from single supervisory mechanism; says ECB must work with EBA to develop a manual of supervisory practices
Yellen says forward guidance is ‘good news for workers’
Fed vice-chair says unemployment is predominantly cyclical and can be allayed by increasing aggregate demand; forward guidance will help Fed boost demand without compromising price stability
National supervisory risk guidance lags industry best practice, says FSB
Financial Stability Board report finds risk governance at some systemically important financial institutions exceeds supervisory guidance; demands more effort from developing economies
RBA offloads stake in scandal-hit Securency
Reserve Bank of Australia sells its shares in company embroiled in bribery scandal; central bank oversight of firm found to be appropriate
People: New deputies for New Zealand and Ukraine central banks
Reserve Bank of New Zealand hires top statistician as deputy governor; National Bank of Ukraine continues leadership team shake-up
Norway’s SWF buys US property for first time
East coast offices the latest purchase in pension fund’s real estate expansion; also reflects diversification away from European holdings
Small economies' central bankers must be ‘exceptionally smart to succeed', says CNB
Small economies are 'event-takers' says Czech executive director, often dependent on external conditions set by economic policies of advanced economies
ECB working paper finds fiscal consolidation improves bank balance sheets
Improvement in capital adequacy ratios results from a portfolio re-balancing from private to public debt securities, reducing the risk-weighted value of assets
Co-operation needed to avoid reduction in cross-border activity, says Canadian deputy
Timothy Lane says a reduction in cross-border activity only internalises the contagion risk; greater global co-operation needed to improve financial stability
RBI deputy wants to make banking a 'fundamental right'
Kamalesh Chandra Chakrabarty champions universal access to basic banking services; says banks’ cost structures are incompatible with the ideal
Buba’s Weidmann concerned by central bank politicisation
Bundesbank president says euro is not overvalued; finds Stiglitz comments on central bank independence 'concerning'
G-20 urged to address financial system flaws
Group of Thirty wants G-20 to act on conflicting financial services regulation, taxation and reporting rules; calls on Asian central banks to inject up to $4 trillion into diversified SWFs
Irish governor hopes SSM can avoid a 'nationalistic backlash'
Patrick Honohan sets out hopes and fears for a centralised regulator, warning incomplete implementation of banking union could result in 'divisive clashes'
Visco calls for powers to dismiss bank directors
Bank of Italy governor says the supervisory authority should have the power to remove senior management in banks from their posts
Eurosystem backs Barnier over Euribor submission
The Eurosystem supports Michel Barnier's desire for legal right to compel banks to participate in Euribor rate-setting; stresses need for private sector to lead rate overhaul
National Bank of Romania struggles to keep inflation on target
Romanian inflation remains outside target band despite negative output gap, with blame pointing to energy market developments among other factors
Bangladeshi governor hails central bank's "unorthodox developmental role"
Governor Rahman points to role of central bank in helping Bangladesh to meet millennium development goals
Dombret wary of conflicts between regulatory measures
Bundesbank executive board member Dombret urges the consistent and timely implementation of international regulation on a national level
Polish paper extolls benefits of probability forecasts
Research finds forecasting technique that seeks to quantify the uncertainty surrounding economists’ predictions has ‘rich interpretation possibilities’
National Bank of Kazakhstan’s SWF seeks new fund managers
Central bank issues tenders for two managers to oversee portfolios worth $50-150 million each
Banks could be forced into Euribor submission
European Commissioner Michel Barnier says banks could be compelled to take part in rate-setting process under new legislation
ECB 'conflict of interest' puts effective supervisory mechanism at risk
The European Parliament's rapporteur on the SSM fears a conflict of interest inherent in the ECB stands in the way of creating an SSM that is up to the task
Stein says Fed could deploy monetary policy to cool credit markets
Jeremy Stein says imperfect regulatory tools may require monetary and macro-prudential policies to work in tandem if credit markets overheat, but spotting trouble is not straightforward
Norwegian paper suggests alternative to ‘conclusion-based’ interest rate decisions
Research examines the stories behind interest rate decisions; reveals benefits to voting on contributing elements as opposed to final level