Central Banks
Romania cuts by half point
National Bank of Romania reduces key rate in bid to meet inflation target
Fed’s Kohn on the links between macro and financial stability
Federal Reserve’s vice chairman notes crisis has illustrated two key lessons on the relationship between macroeconomic and financial stability
HK banks interdependent
Hong Kong Monetary Authority research says local banks as systemically important as international and mainland counterparts
Bank of Estonia leads the way in slashing budget
Estonian central bank sets an example by cutting costs by 10%, with EEK 1 m drop in staff costs; also expects income from reserves to fall
China should turn to oil: senior central banker
People’s Bank of China director says country should invest in oil and other resources; dismisses suggestion that reserve accumulation will force yuan appreciation
World’s biggest bond fund cuts back on gilts and treasuries
Pimco says it will reduce its holdings of US and UK government debt on concerns over rising debt and the withdrawal of asset purchase programmes
Benefits and limitations of transparency
A Centre for Economic Policy Research paper argues that while increases in transparency yield significant benefit at low levels, diminishing returns set in at higher levels
Bank of Korea – Financial Stability Report November 2009
Korean recovery rapid, with increases in quarterly growth rates and a revival in housing prices, says central bank report
"Lost Decade" in translation: what we learn from Japan
International Monetary Fund research asks what Japan’s Lost Decade could portend about recovery from Great Recession
Bernanke: low rates didn’t spur housing bubble
Federal Reserve’s Ben Bernanke says direct linkages between low federal funds rate and rise in house prices weak; fix regulation not monetary policy
Israeli rates rise as Fischer enforces third hike
Bank of Israel’s Stanley Fischer hikes prime rate to 1.25%
BoJ discussion paper series – Dec 09
Bank of Japan finds e-money usage does not lower cash-demand
Old Lady urges banks to use profits to de-leverage
Bank of England calls on banks to plug profits back into fixing balance sheets; Haldane says City exodus may be price worth paying
RBNZ - Reserve Bank Bulletin December 09
Reserve Bank of New Zealand report features articles on liquidity policy, forecasting, the history of banking crises and trade flows
Botswana slashes a point off rates
Bank of Botswana cuts key rate to 10% - a record low
Chief Republican votes against Bernanke
Leading Republican on Senate Banking Committee Richard Shelby says Fed abused trust and confidence
Jordan cuts by half a point
Central Bank of Jordan knocks 50 basis points off key rate as deflation strikes
Credit shocks: evidence from corporate spreads and defaults
Dallas Federal Reserve paper looks to uncover the nature of credit-market shocks
Economists judge Carstens worthy successor
Carstens up to the job of heading the Bank of Mexico but concern exists over his replacement as finance minister
ECB to start building new HQ in spring
European Central Bank to finally begin construction after two-year delay
Commonwealth Secretariat releases guide to aid literacy
Commonwealth Secretariat publishes teachers’ resource to promote financial literacy; efforts part of campaign launched by Central Bank of Trinidad & Tobago to promote better financial education
BoJ partly to blame for lost decade: CEPR paper
CEPR looks at the contribution of the stock of money to the macroeconomic outcomes of the 1990s http://www.cepr.org/pubs/new-dps/dplist.asp?dpno=7608