Central Banks
MAS's Lim says integrated sovereign wealth funds beneficial for industry
Monetary Authority of Singapore deputy chairman Lim Hng Kiang says improved ties between sovereign wealth funds will improve best practice in the industry
BIS: currency collapses benefit output growth
Bank for International Settlements study on currency collapses finds devaluation helps growth in the long run, rather than dampening it
RBA: standard Phillips curve better measure of inflation than New Keynesian version
Reserve Bank of Australia study finds traditional Phillips curve model outperforms New Keynesian version in measuring inflation
Ireland’s bad bank forced to slash profit forecast
Ireland’s National Asset Management Agency says €4.8 billion profit estimate was based on exaggerated figures from banks; chairman Frank Daly “disappointed and disturbed” by banks’ distortion
Differing sovereign debt haircuts to be included in EU stress tests: reports
Reports quote German banking officials as saying that extreme scenarios will apply steep haircuts to PIIGS sovereign debt, but none to bunds or French paper
Azerbaijan to move to DSGE model
National Bank of Azerbaijan will switch to consolidated DSGE framework by year-end; deputy research director says model valued for overall coherence and ability to factor in irrational behaviour
Ukraine President in bid to strengthen central bank independence
Ukraine’s President Viktor Yanukovych submits draft bill to enhance central bank’s independence; measures lengthen governor’s term, increase number of deputies and prohibit party membership
ECB attacks Bucharest over central bank pay cuts
European Central Bank criticises Romania’s decision to impose wage cuts on central bankers after its government failed to consult Frankfurt
National Bank of Slovakia – Monthly Bulletin (May)
Monthly Bulletin shows economic recovery remains on a steady path in Slovakia
Abandon pure inflation targeting: India’s Subbarao
Reserve Bank of India governor Duvvuri Subbarao says central banks should not persist with single focus on inflation targeting
Zambia’s Fundanga: MoU will scale up research efforts on economy
Bank of Zambia governor Caleb Fundanga hails effort to improve research on country’s economy
Founding MPC member leaves UK fiscal watchdog after three months
Office of Budget Responsibility head Sir Alan Budd steps down after barely three months on the job
Bangkok names new central bank governor
Thailand’s cabinet selects former Securities and Exchange Commission chief Prasarn Trairatvorakul to take over as central bank head; markets, analysts welcome announcement
FROM THE ARCHIVES: new MPC member criticises Greenspan put
In this article, taken from the August 2003 edition of Central Banking, Martin Weale, on Monday named the Bank of England’s new rate-setter, argues against the Federal Reserve keeping rates at low levels following the bursting of the dotcom bubble
Protests at Icelandic central bank on car loan rules
Several hundred demonstrators congregate around central bank in peaceful protest against delinking of car loans from foreign currency exchange rates; rule change could see up to 10% of Icelanders hit with higher repayments
Central Bank of Brazil: inflation tax risked hyperinflation
Brazilian central bank study shows the country risked weak hyperinflation in the past due to high income tax elasticity
BoE data shows May rise in lending levels
Bank of England data on lending shows moderate gains in amount of loans issued to individuals and households; lending still remains below pre-crisis levels
Malaysia’s Ibrahim calls for greater harmonisation in Islamic finance
Bank Negara Malaysia deputy governor Dato' Muhammad bin Ibrahim says companies can make efficiency gains through greater cooperation within Islamic finance industry
Cleveland Fed: Fed’s abandonment of FX controls justified
Cleveland Federal Reserve study says Fed was right to stop intervening in foreign exchange markets as it helped stabilise prices in long term
Governors gloomy on outlook for pan-African currency
South African, Nigerian and Ghanaian central bank governors say path to regional and continent-wide single currency littered with obstacles; single currency will not correct underlying problems
Greek debt crisis sparks widening of almost all global CDS spreads
Cost of protecting against a Greek default up 190% in three months to mid-June as CDS spreads widened for 93% of sovereign debt on back of sovereign debt crisis in Europe