United Kingdom
BoE paper explores impact of machine learning on credit
Benefits of AI-driven screening depend on market characteristics, authors find
Somalia’s governor on rebuilding its central bank
Governor Abdirahman Mohamed Abdullahi discusses reviving Somalia’s war-damaged economy, re-creating a payments system, and dealing with remittances
UK regulators propose new policies to foster diversity
Data and disclosure will be important to assess progress, regulators say
FCA warns against use of ‘credit-sensitive’ rates in place of Libor
Banks should tell the FCA if they plan to use such rates and consider the risks “carefully”
BoE adapting working practices to post-Covid world, says Place
Central bank is changing staffing, technology and buildings in light of lessons from pandemic working
BoE paper models impact of ‘active’ fiscal policy
Active fiscal policy complicates monetary policy but can generate higher welfare, author says
UK and Singapore to co-operate on regulation
Central banks and finance ministries to co-operate on cyber security and climate impact
People: Chile’s central bank appoints new general manager
FCA makes appointments to legal team; Haitian governor to lead financial inclusion initiative
Haldane says inflation targeting faces its ‘most dangerous moment’
BoE chief economist says risks of inflation and fiscal dominance are both on the rise
BoE demands changes at Euroclear after system outage
Central bank takes supervisory action over outage that caused “notable” market disruption
UK household debt has not yet amplified Covid shock – BoE paper
But the share of households reporting financial difficulties is now rising, authors note
Bank of England holds interest rates and asset purchases
MPC wants evidence spare capacity is being reduced but Haldane votes for lower asset purchases
UK committee calls for reform at FCA over ‘mini-bond’ scandal
Treasury Committee says it does not believe Andrew Bailey misled it over his role in the matter
Bank of England prepares for first public CCP stress test
Discussion paper sets out eight components of supervisory stress test for key market infrastructure
People: Sam Woods reappointed; Fernanda Nechio returns to SF Fed
BoE deputy gets fresh term; Nechio to lead regional Fed’s sustainability research; and more
BoE completes transition to polymer
New £50 banknote featuring scientist Alan Turing enters circulation
Catherine Mann appointed to Bank of England MPC
Former Citibank and OECD chief economist to take Jan Vlieghe’s seat; Jonathan Haskel reappointed
FCA proposes expanding climate-risk disclosure rules
Climate disclosure proposals are first “substantive” policy for asset managers since Brexit
BoE suspends dividend as capital falls below target
Growth of intangible assets due to RTGS project caused loss-absorbing capital to drop
Covid-19 caused steep decline in SME turnover – BoE research
Government support stemmed collapse but younger firms suffered
BoE’s Bailey says CBDCs could be ‘fundamental’
Innovation hub run by BoE and BIS hub likely to concentrate on CBDCs and payments, official says
BoE outlines climate stress tests
Tests planned as “learning exercise” and will not be used to set capital requirements
Sizing the benefits and risks of our climate ambition
Fixing climate change is likely to entail substantial risks, new NGFS scenarios show. Firms and supervisors must seize this opportunity to adapt, write Sarah Breeden and Frank Elderson
BoE says stablecoins must be as trustworthy as commercial bank money
Stablecoins may require tailored regulation and access to emergency liquidity facilities, paper says