Gold
Bolivian legislators ask to inspect gold reserves
Opposition politicians claim government wants to monetise and spend gold
Banknotes: July to September 2022
A round-up of news and salient issues that have affected central bankers in the past three months
Will the dollar remain the world’s reserve currency?
Bank of Russia sanctions are unlikely to undermine the US dollar’s central role in reserve portfolios. But a relative decline in US economic weight and technological innovation are benefiting other currencies
Book notes: The money minders, by Jagjit S Chadha
This book acts as an invaluable primer on money-credit-fiscal theory and practice
Gontareva on Ukraine’s funding, NBU policy and reconstruction
Former NBU governor Valeria Gontareva speaks about donor funding shortfalls, NBU policy and financial stability challenges, Nabuillina and the seizing of Russian assets, and post-conflict rebuilding and modernisation
UK court recognises Venezuela opposition’s central bank board
Supreme court had already ruled in opposition’s favour last December
Zimbabwe fights inflation with gold coins
Announcement comes after currency devaluation
Zimbabwe central bank raises policy rate to 200%
Finance minister guarantees use of US dollar through 2025, while RBZ will mint gold coins
(Un)stablecoins and central banks
Time to tackle stablecoin structures and support mechanisms
BIS balance sheet buffeted by market turbulence
Institution still turned a profit in the year to March 2022
Bolivian central bank wants to become sole buyer of gold
Proposal would allow BCB to use gold reserves as collateral or swap them for foreign exchange
Central bank gold purchases back in positive territory
War and inflation appear to be supporting demand for the reserve asset
Book notes: Two hundred years of muddling through, by Duncan Weldon
Insights into UK economic history offer lessons for today’s policy-makers
Fractures in the monetary system
Seizure of Bank of Russia assets likely to have long-term implications for international system
Bank of Russia fixes gold price and increases loans
Central bank announces new emergency measures after fresh round of US sanctions
Bank of Russia bans gold purchases
Central bank says demand for gold increased after VAT was lifted by Putin’s decree
Guinean governor’s arrest may be linked to gold dispute, say reports
Military junta’s motive for prosecuting ex-governor is currently unclear, experts say
Outsider arts: how Russia might adapt to sanctions
The history of the USSR and actions by other sanctioned countries may give clues to Russia’s next moves
Rethinking sovereign risk
‘Risk-free’ assets now include the possibility of complete confiscation with no recourse
Kyrgyz central bank raises rates 150 basis points
Central bank cites “geopolitical risks”, though high inflation was problem long before war
Higher interest rates to challenge gold in 2022
But real rates are likely to remain low in historical terms, and gold tends to perform better with high inflation
Book notes: The cost of free money, by Paola Subacchi
A book worth reading, as it facilitates further discussion on substantial issues, but doesn’t fully address some of the problems it takes aim at
Book notes: Empire of silver, by Jin Xu
A useful introduction to China’s monetary history, focusing on the last 1,000 years, but not the easiest of reads throughout
How Turkey’s president created chaos in economic policy-making
Observers allege presidential domination of the central bank, unauthorised FX transactions and untrustworthy statistics