Fiscal policy
CNB’s Aleš Michl on tackling inflation, Friedman’s legacy and ditching DSGE
Czech governor speaks about policy mistakes, targeting M2, diversifying into equities and gold, and ending interest on minimum reserves
China shifts to ‘moderately loose’ monetary policy stance
Officials also vow to pursue “more proactive” fiscal stance next year
Inheritance tax avoidance has fiscal impact – Bank of Spain study
Paper says loopholes led to effective reduction in tax rate of 1.3 percentage points in Catalonia
South Korea pledges ‘unlimited liquidity’ to stabilise markets
Authorities ready to support stock, bond, short-term funding and FX markets amid political turmoil
OECD highlights ‘resilient’ economies beset by risks
Geopolitics, high public debt and possible repricing in private credit markets threaten outlook
Savings, not debt, can finance EU growth – Villeroy de Galhau
Governments need “strategic pivot” to meet structural challenges, says BdF governor
Fifth review: done. How Ukraine set a record in passed IMF reviews
NBU governor Andriy Pyshnyy says unlocking funding has become a matter of survival for his country
Tombini warns of false sense of stability in markets
BIS official says participants need to price in significant uncertainty over economic policy
Policy-makers lament uncertainty following US election
Speakers at Central Banking Autumn Meetings say policies will be marked by unpredictability
Minneapolis Fed chief shares concerns about tit-for-tat tariffs
Kashkari points to heightened risk of inflation but insists US economy is “strong”
Ruling party loyalist to become new BoT chair
Appointment of Kittiratt Na-Ranong will increase concerns about erosion of bank’s independence
Covid stimulus did not trigger US inflation surge – NBER study
Working paper says QE and fiscal stimulus had minimal impact on price rises
Bank of England cuts policy rate to 4.75%
Policy committee votes by 8–1 to reduce bank rate by 25bp
Thailand delays selection of central bank chair
Decision follows warning against political interference from four former governors
Colombia cuts rates by 50bp in split decision
Recent constitutional reform bill could hurt fiscal sustainability, says central bank
Bill aims to remove Tunisian central bank’s independence
Proposed law would also allow direct monetary financing of Treasury
Bank of Thailand announces first rate cut in four years
Central bank unexpectedly eases policy by 25bp as inflation stays below target
Lower risks enable authorities to shift policy – Amro report
Asean+3 research arm says challenges remain on dollar dependency and property markets
Fiscal upside, economic downside to EU deficit procedure – study
Fiscal consolidation sometimes led to restrictive pro-cyclical stances, research finds
Shared EU debt not ‘essential’ for competitiveness boost – Draghi
Former ECB chief also says his proposal for €750bn of extra annual investment is “conservative”
Central banks must reckon with the costs of quantitative easing
Asset purchase programmes have become a significant loss-maker for central banks. Jagjit Chadha says the losses raise questions about value for money, fiscal distortions and independence