International
FSB sets targets to tackle cross-border payments issues
Proposals are “foundational step” in G20 initiative to improve global payments
Inequality can worsen recessions – BIS paper
But authors say there is little evidence that income inequality affects consumption in normal times
A return of the inflation monster?
There are fears that a shift in intellectual approach towards running economies ‘hot’ could herald a return of the money-eating inflation era
Should the Fed’s Fima facility be made permanent?
The emergency repo facility reassures reserve managers about access to dollar cash during a breakdown in the US Treasuries market
Benoît Cœuré on CBDCs, stablecoins and central bank fintech co-operation
BIS Innovation Hub chief voices concerns about the timing of stablecoin and CBDC roll-outs, fintech risks for supervisors and monetary policy, and details development plans for eight innovation locations
IMF proposes $50bn plan to ‘end the Covid-19 pandemic’
“Upfront” financing is needed to accelerate vaccinations, say Georgieva, Gopinath and Agarwal
Number of women in financial services is ‘pathetic’ – IMF’s Georgieva
IMF and ECB heads say central banks must increase their representation of women
The future of forward guidance
BNP Paribas Asset Management explores the current landscape around forward guidance, focusing on how central banks’ methods of communication are likely to evolve in the future. By Richard Barwell
Book notes: Quantitative easing, by Jonathan Ashworth
Well-documented and fairly comprehensive book for anyone, including central bankers, wanting an overview of how monetary policy has evolved in recent decades
Emerging markets pass capital flows test
BIS report concludes inflows are broadly positive, as improved EM institutions make them more resilient
Don’t dismiss inflation risks but don’t overreact, say central bankers
Sbordone, Smets and Vlieghe weigh up challenges for central banks in the “return towards normal”
Diem shifts focus to US dollar stablecoins
Move away from Switzerland sees former Libra Association distance itself from original multi-currency plans
BoE paper explores liquidity traps with ‘Hank’ model
Precautionary savings can send economy into deflationary spiral, authors find
The new era of money supply and its impact on policy
The empirical relationship between money and inflation has changed, writes Manmohan Singh, with Apoorv Bhargava and Peter Stella. To understand current policy challenges, we must first understand money creation
CBDCs must be interoperable – Swift and Accenture paper
Swift plans new CBDC trials for members across traditional payment rails
Fintech & IT Benchmarks 2021 – presentation
Central Banking’s fintech and IT subject matter specialist Rachael King speaks with Christopher Jeffery about fintech and IT staffing and salaries, research and investment, system resilience, CBDCs and the wider fintech ecosystem
Central banks have limited tools to tackle inequality – Carstens
Inequality is an issue for central bankers, but they cannot solve it on their own, says BIS chief
BlackRock research pushes back at concerns over bond ETFs
BIS paper had suggested ETF sponsors may have sold illiquid assets to discourage redemptions amid Covid stress
Dollar’s share of global reserves falls to 25-year low
Gradual decline may stem from currency diversification by emerging market central banks - IMF report
People: US set to name OCC chief; IMF’s Werner to retire
New deputy governor appointed in India; former Ecuadorian general manager dies; and more
Central banks remained net gold buyers in Q1
Rate of gold buying down on first quarter of 2020, as Hungary leads purchases
Central bank ‘activism’ risks long-run costs, paper argues
Central banks acting outside their mandate is “never without cost”, law professor says
Central banks play growing role as local gold buyers
Purchase programmes can save resources, while helping to foster security and fairness in mining industry, report says
The evolving ‘strategy function’ in central banks
Some institutions participating in a survey of 27 central banks still struggle to fully harness an effective ‘strategy function’, according to the ECB’s Jean-Charles Sevet and Alejandro de la Cuesta