Macro-prudential policy
IMF urges Mauritius to form macro-prudential authority
Central bank would have “prominent” role in new authority; as a first step, IMF staff recommend establishing a technical group featuring representatives from multiple stakeholders
Nakaso considers how policy-makers could respond to low bank profitability
Bank of Japan deputy notes financial stability risks from monetary easing are low at present; considers how to respond to overheating or low profitability if necessary
EBA does not object to further macro-prudential measures for Belgian banks
The European Banking Authority clears the way for Belgium’s central bank to tighten macro-prudential measures affecting housing exposures; calls for changes in regulatory framework
Paper looks at macro-prudential impact on mortgage affordability
Working paper assesses how macro-prudential policies influence the share of households that can “access and sustain” a mortgage at different loan-to-value ratios
IMF urges ‘comprehensive approach’ to growth that reduces reliance on monetary policy
International Monetary Fund calls for coordinated policy response ahead of G20 meetings; policy-makers ‘must act now’ to implement strategies
Sarb’s Lesetja Kganyago on divergent monetary policies and new supervision
The governor of the South African Reserve Bank talks to Christopher Jeffery about navigating divergent monetary policies, South Africa’s new supervisory regime and nurturing new talent
Paraguay’s Valdovinos: world has a lot to learn on macro-prudential tools
Paraguayan governor underscores importance of macro-prudential policy but says global economy still has a lot to learn; monetary policy is 'too blunt' to solve all problems
Paraguay’s governor on the ‘new normal’ and inflation targeting
Central Bank of Paraguay governor Carlos Fernández Valdovinos explains why the global economy must adapt to the 'new normal' and how Paraguay is coping with falling commodity prices
South Africa continues to make progress in market conduct regulation, deputy governor says
Sarb in communication with regulators about revised code of conduct; next stage to be completed in ‘coming months’
Strong action needed to tackle credit booms, research finds
Study of macro-prudential policy use in south-east Europe finds policies must be broad, powerful and carefully calibrated if they are to work
Canadian deputy warns limits to macro-prudential tools may impact monetary policy
Timothy Lane says fiscal policy may have to step into the breach and provide stimulus when using monetary policy would risk creating ‘vulnerabilities’ macro-prudential policy can’t offset
IMF staff call for clarity on Morocco macro-prudential body
Staff report calls on government to clarify powers of inter-agency committee chaired by central bank governor; separate assessment details work on toolkit
RBI’s Gandhi: are regulators ‘barking up the right trees’?
Deputy governor stresses effective regulation is not about ever more detailed rules but rather taking a broad view and spotting emerging risks early on
ECB’s Angeloni wants analysis of macro-prudential measures ‘at some stage’
Supervisory board member says analysis will be important in the future, partly because it will help identify ‘scope’ of potential ECB actions
Market discipline ‘key pillar’ of RBNZ toolkit, article says
Article in latest Reserve Bank of New Zealand bulletin insists new requirements have not come at the expense of market discipline – they are both ‘key pillars’ of regulatory toolkit
Negative commodity price shocks weaken EM financial sectors, IMF paper argues
The financial sectors of resource-rich emerging economies are vulnerable to negative commodity price shocks, working paper argues; better policy can increase resilience
BoE paper suggests action when markets unsure about macro-prudential policy
BoE economists say policy-makers should be more active in times of uncertainty in the private sector, suggesting it need not make them "more cautious"
Responses to commodity shocks only have ‘small’ impact on investment, paper finds
Flexible inflation-targeting frameworks and exchange rates are ‘essential’ to limit the macroeconomic impact of commodity price volatility
BoE’s Forbes weighs up varying policy paths in US and UK
Bank of England MPC member Kristin Forbes sees ‘striking’ similarities between the countries’ labour markets, but this does not necessarily mean the same policy is appropriate
Kosovo’s ELA rules are ‘major improvement’, say IMF staff
Central Bank of the Republic of Kosovo adopts regulation setting out the conditions for emergency fund provision; staff at IMF welcome the additional ‘detail and rigour’
Kuroda and Davos panel see little alternative to divergence
Bank of Japan governor warns a synchronised exit from easy policy in the major economies ‘could be worse’ than the ’staggered arrangement’ at present
Independent review calls for major changes at Riksbank
Riksbank criticised for reliance on models, board members’ quarrels and ‘surreal’ monetary guidance, though King and Goodfriend say it is ‘clearly a success’ compared with past regimes
Central banks struggling to exit ‘confused period’, economists say
The financial crisis forced a regime change on central banks, raising challenges to independence, analysis and policy tools, which have yet to be fully resolved, say panellists in Brussels
IMF staff say tighter macro-pru measures ‘may be warranted’ in Slovakia
IMF staff have called for Slovakia’s central bank to boost its oversight of housing lending and to consider raising the counter-cyclical capital buffer for the country’s banks if growth continues