Exchange rate
Central Bank of Kenya denies seeking to strengthen currency
Kenyan shilling appreciates in run-up to elections; central bank says it only intervenes in exchange rate to support price stability
BIS researchers shine light into ‘dark’ FX markets
Working paper finds valuable information in foreign exchange order flows, giving large forex traders a significant competitive advantage
Booknotes: Making the European Monetary Union
A history of the Committee of Central Bank Governors for the period 1964 to 1993, for which the author, Harold James, had access to the archives
New Zealand Reserve Bank 'prepared to intervene' in FX markets - governor
Graeme Wheeler says currency is over-valued, and investors should know that the Kiwi is 'not a one-way bet'
Bank of Portugal research adds new variable to explain export behaviour
Working paper asks whether domestic demand pressures affect Portugal's export performance; results point to asymmetric relationship
G-20 vows to resist entering currency wars
Commentators including Paul Krugman and Christine Lagarde reject concerns over possible currency war, as G-20 reaffirms commitment to exchange rate flexibility
Pakistan says Nato pull-back worsened rupee depreciation
State Bank of Pakistan annual report finds closure of Nato supply lines to Afghanistan contributed to a 9.1% depreciation of the rupee against the dollar in fiscal 2011–12
IMF research lends support to exchange rate liberalisation
Working paper concludes exchange rate liberalisation in sub-Saharan Africa ended a prolonged crisis and prompted a ‘strong and ongoing’ economic expansion
Malawi at risk in wake of currency devaluation
Financial stability report reveals inflation doubled after Malawian government floated exchange rate and devalued currency by 50%
LatAm countries play down talk of burgeoning currency war
Peruvian and Colombian central banks say dollar purchases are being made to build reserves and reduce volatility; Latin America faces wide range of currency challenges
Finnish paper finds sterilisation bonds can benefit Asia
Bank of Finland discussion paper examines rising use of sterilisation bonds by six central banks in Asia and finds ‘encouraging’ evidence of their effectiveness
NY Fed research plays down QE impact on emerging markets
Staff report says large-scale asset purchases have a relatively small impact on capital flows to emerging economies in the aggregate, but finds substantial variation between countries
Filipino central bank launches exchange facility for nationals fleeing Syria
Filipino workers returning from Syria will have four months to change currency, as Syrian pounds and Philippine pesos are not otherwise convertible
Central Bank of Egypt grapples with falling currency
Egyptian pound continues fall after currency auctions by central bank; follows rating downgrade as concerns raised over impact of political turmoil and weakening economy
Korea research appraises exchange rate volatility
Working paper published by Bank of Korea finds both high and low exchange rate volatility impacts the country’s credit inflows and can carry negative consequences
Bank Indonesia stepped up stability efforts in 2011
Annual report shows central bank went to greater lengths to ensure exchange rate stability and promote resilience in the banking sector
SNB to open branch in Singapore
Swiss central bank will transfer Asian portfolio managers to new office in Singapore as it looks to diversify reserves further
Peru annual report shows declining dollar share of reserves
Greenback’s share of central bank’s reserves declined from 64% to 57% of portfolio in 2011 as a result of diversification strategy
NY Fed research links exchange rate pass-through and mark-ups
NY Fed paper finds evidence that exchange rate movements are associated with movements in mark-ups on goods
SNB will not abandon minimum exchange rate, Jordan says
Thomas Jordan reaffirms the Swiss National Bank’s commitment to a minimum of 1.2 Swiss francs to the euro; inflation expected to remain negative next year
Belize paper evaluates value of currency peg
Research published by the Central Bank of Belize highlights export growth and steady domestic inflation aided by peg to the US dollar
Bank of England must promote RMB trading, warns Chinese official
A swap line between the central banks of the UK and China would be a key step towards the growth of offshore renminbi, a former official of the People's Bank of China said yesterday
Belgian research examines factors behind exchange rate pass-through
National Bank of Belgium working paper studies why some exporters pass on fluctuations in exchange rates through price adjustments while others do not
Sarb’s Mminele highlights risks to emerging markets from QE
Daniel Mminele says unconventional monetary policy has complicated policy-making for emerging market central banks