China
Former HKMA chief Yam calls on PBoC to shift to policy rate
Founding chief executive of the Hong Kong Monetary Authority publishes a paper calling for interest rate and money base liberalisation on the mainland
PBoC commits to more market reform
The People’s Bank of China reiterates the importance of handing markets a ‘decisive role’ in resource allocation in the quest for sustainable economic growth; looks forward to 2014
PBoC delivers on cash injection promises
People’s Bank of China uses standing lending facility and reverse repos to inject in excess of $37 billion into interbank market; releases statement to prepare market participants ahead of time
Chinese labour costs set to play significant inflation role
Researchers suggest that increases in labour costs do not pass ‘fully’ through to prices in China; warn this could change on the back of ‘recent sizeable growth’ in nominal wages
ECB bulletin examines 'virtuous circle' in Chinese reforms
Research article published by the European Central Bank says there could be a ‘virtuous circle’ between reforms aimed at rebalancing China’s growth and those aimed at promoting the renminbi
Emerging Asia must reform to keep growing, says IMF research
China and India have recently exhibited a decline in total factor production growth; demographic factors will be more supportive in India and some Asean economies than in China
Chinese liberalisation could be ‘force for global stability', says BoE economist
Article in Bank of England quarterly bulletin says a more open capital account in China could be a force for growth and financial stability at home and abroad
China moves to block Bitcoin as digital currency gains credence
Bank of America analysts say Bitcoin could become a ‘serious competitor to traditional money', but the People's Bank of China warns it 'cannot and should not be used as currency'
Taiwan allows Chinese issuers in offshore RMB bond market
So-called Bao Dao bonds are expected to find a ready market eager for yield; offshore RMB bond market in Taiwan has seen just six issuances so far this year
Sarb official warns about use of Aussie investments as a proxy for China
Australian and Chinese markets are 'vastly different', so investing in Australia as a proxy for China could be risky, South African Reserve Bank risk manager warns delegates at Nalm Africa 2013
China and India take divergent paths in liquidity management debate
People's Bank of China is targeting liquidity injections through a standing facility, while the Reserve Bank of India is reducing the amount available to banks through its equivalent funding window
Malaysia central bank opens office in Beijing
BNM's newly established presence reflects growing trade and financial ties with China; governor also reveals new renminbi liquidity facility and MoU to establish cross-border collateral arrangements
Central bankers cannot fix Asia's economic woes, warn bank economists
Government-driven reform is urgently required to ensure continued development in Asia; India comes in for most criticism as market watchers turn attention to forthcoming plenary in Beijing
FDIC inks MoU with China on bank resolution
The document, signed in Beijing yesterday, seeks to improve collaboration on resolution planning through the exchange of information and co-operation on risk monitoring
Singapore becomes third RQFII renminbi hub
Deal struck between Singaporean and Chinese authorities follows hot on the heels of an agreement with London, making Singapore the third approved centre for renminbi investments
China should be in ‘no hurry’ to relax capital controls, says ADB paper
Working paper makes recommendations for Chinese fiscal and monetary policy, including maintaining control over exchange rates and taking steps to curb the growth of shadow banking
China relaxes liquidity rules to fall in with Basel timeline
New approach to liquidity risk intended to reduce the regulation's pro-cyclicality; new rules come into effect on January 1, 2014
‘Unprecedented' US rate normalisation is global economy's biggest challenge, says IMF
Overshooting interest rates prompted by Fed taper may expose substantial financial weaknesses in both advanced and emerging countries, warns stability report; shadow banking of particular concern
Dollar lending in East Asia can override local monetary policy, says BIS' McCauley
Paper by Robert McCauley and Dong He of the HKMA argues the growth of credit in foreign currencies, especially the dollar, transmits global monetary easing to East Asia
Thailand's Prasarn says taper disruption set to continue
Governor of the Bank of Thailand Prasarn Trairatvorakul warns taking away the punchbowl remains tricky, but says his country should take advantage of China's growing role as an importer
Chinese capital rules meet Basel III standards
Bank for International Settlements report says China’s capital rules are in line with the Basel III minimum standards, but finds two 'potentially material' flaws
HKMA’s Yue focuses on renminbi as China liberalises capital markets
Deputy chief executive Eddie Yue believes the renminbi will be ‘crucial’ in managing impact of China’s capital account liberalisation on global markets; hosts forum with UK government official