Debt
Rethinking sovereign risk
‘Risk-free’ assets now include the possibility of complete confiscation with no recourse
FOMC’s January minutes hint at policy actions and inflation fears
Committee signals determination to end asset purchases in March and raise the funds rate
Honduran Congress clears way for SDR loan
Declaration of “emergency” will allow government to access $335 million held at central bank
US Treasury opposes ending IMF surcharges
Biden administration rejects initiative championed by Democratic progressives
IMF says Sarb should consider lowering inflation target
Lower inflation could bring various benefits, but only “when circumstances allow”, say staff
Has the IMF found a way forward for Argentina?
Withdrawing monetary financing would put pressure on government budget, analysts warn
Saudi sovereign wealth fund gets first-ever credit rating
Public Investment Fund prepares for bond issues and lending initiatives
Picking up the pieces: how to tackle the next phase of the Covid crisis
The global economy is heading into dangerous territory, writes Jagjit Chadha. Central banks must honour their commitments to price stability
Cape Verde SWF to stay under central bank
President rejected law to move oversight to securities regulator
Suriname courts convict second former governor
Van Trikt receives eight years in prison, weeks after Hoefdraad sentencing
IMF warns El Salvador on crypto
Executive board recommends “removing bitcoin’s legal tender status”
Mozambique’s government owes central bank over $600 million – auditors
Auditors say government is obliged to compensate central bank over forex movements
Eurozone deficits and debt declined in Q3 2021
But debt levels in the bloc remain at high levels, especially in Southern Europe
Argentina raises rates for first time since 2020
BCRA raises benchmark rate 200 basis points, as IMF talks continue
Papua New Guinea reforms central bank and forces out governor
Law changes board and policy framework, and allows central bank financing
IMF finds Argentina bailout ‘did not deliver on its objectives’
Largest-ever IMF loan was ineffective and “not sufficiently robust”
Former Suriname governor sentenced to 12 years
Gillmore Hoefdraad fled country to avoid trial in case involving another former governor
Kareem Michael to be new Belize governor
Former deputy governor will be third central bank head this year after predecessor was fired
Monetary policy’s potency may wane over time – BIS paper
Low rates might cause aggregate demand to become less sensitive to monetary stimulus, authors say
How Turkey’s president created chaos in economic policy-making
Observers allege presidential domination of the central bank, unauthorised FX transactions and untrustworthy statistics
Powell: FOMC may accelerate taper
Fed will no longer refer to inflation as “transitory”
IMF mission worried about Mongolian central bank
Bank of Mongolia’s operational independence has been compromised, says fund
RBNZ prepares curbs on debt service
Central bank is concerned by “very high debt” and “unsustainable house prices”
ECB warns of ‘pockets of exuberance’ in credit, asset and housing markets
High inflation could have “longer-lasting” effects and weigh on the recovery, says financial stability review