Central Banking
ECB invites entrants for wholesale ‘digital euro’ trial
CBDC work in 2024 will test Banque de France, Bank of Italy and Bundesbank DLT solutions
Inflation may continue to fall, World Bank officials say
But core inflation and possible energy shocks continue to pose risks, researchers warn
Held-to-maturity assets present banking risks, paper says
Boston Fed research argues SVB failure could mean regulatory re-think
Monetary policy helped curb inflation expectations – research
Higher rates could achieve a “soft landing” if the expectations channel is strong enough, authors say
Chile cuts rates for fourth consecutive meeting
Board forecasts inflation will return to 3% target in 2024
Colombian central bank begins cutting rates
Board splits over decision, as inflation remains above 10% while economy slows
MAS suspends some remittance channels to China
Singapore’s central bank acts after Chinese authorities freeze around $10 million worth of remittances
IMF extends higher loan caps for low-income countries
PRGT will be able to hand out bigger credits through end of 2024
Climate change increases inflation risks – ECB paper
Both level and volatility of inflation could increase due to rising temperatures, researchers say
Fed research looks at second-round effects of oil price inflation
Late 2022 oil price rally could cause inflationary pressure as late as mid-2025, paper finds
Mozambique parliament passes SWF law
New fund will absorb oil and gas revenue in line with IMF conditions
Argentina adopts new policy rate
BCRA will use overnight reverse repo rate after halting auctions of Leliq bonds
Bank of Japan maintains ultra-loose policy
Ueda says the chance of Japan achieving sustainable above-target inflation is increasing
IMF members approve 50% increase in quotas
Decision was not unanimous and leaves voting shares unchanged
Riskiest non-banks shrink for first time since 2009
FSB says narrow measure of riskiest firms fell in 2022 as asset price falls hit investment funds
Europe’s half-baked benchmark switch leaves some dissatisfied
Users frustrated by narrow scope of euro transition, but replacing Euribor was never a euro group objective
Montenegro appoints Radović as first woman governor
New governor takes office after former president failed to keep predecessor in role
Swedish inflation expectations remain anchored, research finds
Riksbank economists highlight central bank actions to tackle both low and high inflation
FCA official confirms end of ‘temporary permissions regime’
European firms must have UK regulatory approval by December 30
Bank of Russia raises rates again
Nabiullina warns of “pro-inflationary risks” from increased government spending on war
Brazilian MPC makes fourth consecutive 50bp cut
MPC unanimously anticipates cuts of the same magnitude in next meetings
Jamaica ‘twin peaks’ law coming in 2025, official says
Central bank will oversee non-bank sector after scandal at securities firm
Mexico holds rates again, while Peru cuts
Peruvian board says inflation is falling faster, while Banxico predicts more gradual disinflation
PBoC carries out record liquidity injection
Chinese authorities relax home-buying rules in Beijing and Shanghai