Central Banking
ECB poised to clarify tapering of PEPP purchases
Analysts agree central bank views higher inflation as transitory and will maintain rate of purchases
Policy-makers debate central banks’ role in tackling climate change
Some see central banks as important co-ordinators; others warn they could overreach
US court throws out suit against fintech charters
Judges dismiss challenge to Comptroller of the Currency on procedural grounds
BoE outlines climate stress tests
Tests planned as “learning exercise” and will not be used to set capital requirements
Eurozone ‘high-yield’ firms face bond market squeeze – ECB paper
ECB could loosen conditions for buying bonds for firms hit by pandemic, economist says
Malawi picks G+D for currency processing contract
German-based firm already provides processing services to the Federal Reserve
El Salvador to make bitcoin legal tender
President claims the move, a first for any country, will aid remittances and financial inclusion
Financial sector still a headache for central bank modellers
Macro-financial links are difficult to integrate into key models, with progress since the global financial crisis slow. But some central banks are making breakthroughs
NGFS unveils second set of climate change scenarios
New scenarios use NiGEM macro model and take much more granular approach, officials say
French prosecutors investigating Lebanese governor – reports
Riad Salameh has repeatedly denied allegations of money laundering and corruption
Bank of Finland invests in BIS green fund
Central bank invests $300 million in fund supporting renewables and energy efficiency
Yellen: ‘slightly higher interest rate’ would be fine
Treasury secretary says US should push forward with spending plans
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
Powell, Lagarde and Yi call for urgent action on climate change
Lagarde says asset taxonomy is needed soon while Yi says G20 must create disclosure standard
El Salvador extends executive control over central bank
Changes exclude employers’ association from nominations and expand grounds for dismissal
New York Fed to begin SMCCF bond sales
Federal Reserve plans to offload $13.7 billion in corporate debt bought as pandemic measure
Central Bank of Chile approves new transparency policy
New initiative based on standards of the IMF’s transparency code
ECB policy paper says unconventional policy worked
Paper says QE purchases explain “lion’s share” of changes to eurozone yield curves
RBI doubles size of quantitative easing programme
Central bank readies additional 1.2 trillion rupee purchase programme as virus “dents” demand
Central banks face legal risk over climate – ECB’s Elderson
NGOs could sue central banks for failure to take suitable action over climate change, says NGFS chair
Thailand’s central bank picks G+D for retail CBDC project
BoT will use Filia platform for proof-of-concept
Weidmann drops opposition to ‘greening’ ECB bond holdings
Bundesbank president says ECB could limit purchases of corporate bonds from some sectors
Fed adopts single interest rate for reserves
Amendment eliminates separate figure for excess reserves