European Central Bank (ECB)
ECB paper examines effects of real rates on banks’ fragility
Level of real interest rates determines whether price or scale effects predominates, researchers find
Italy to allow larger cash payments despite central bank objections
Official warns move could encourage illicit activity
Housing plays growing role in transmitting ECB policy, paper finds
Labour earnings still most important means of transmission, researchers say
The ECB’s collateral conundrum
A lack of high-quality collateral in the eurozone has resulted in money market rates lagging ECB policy rates, hampering monetary policy transmission
Banknotes: October to December 2022
A round-up of news and salient issues that have affected central bankers in the past three months
Eurozone inflation falls for first time in 17 months, estimates say
Eurostat figures show inflation dropping in most countries, including Germany
Knot and Schnabel strike hawkish tone on ECB policy
Portuguese governor calls for an end to 75bp hikes; Lagarde says inflation may still rise
ECB paper presents new corporate default prediction method
Authors say their “distance to insolvency” measure outperforms other forecasting methods
Weidmann to join Commerzbank in 2023
Former Bundesbank president will become chairman of the bank’s supervisory board
Eurozone banks’ TLTRO repayments are below market expectations
Slow pace of repayments may hamper ECB policy normalisation, some analysts say
ECB joins ‘Gaia-X’ data and cloud network project
Initiative aims to build a European data ecosystem to boost “digital sovereignty”
ECB’s policy rate should reach 2% in December, Villeroy de Galhau says
Banque de France governor says “jumbo” rate hikes “will not become a new habit”
ECB warns array of risks threatens financial system
Luis de Guindos calls on governments to avoid fiscal policies running against tighter monetary policy
Climate change may have serious effects on natural rate – ECB paper
Monetary policy may need more flexibility to deal with climate and green transition, researchers say
ECB’s Panetta warns tighter policy could inflict unnecessary damage
Monetary policy could permanently reduce potential output, argues ECB board member
ECB eases securities lending limits to address collateral shortage
Governing council aims to provide “backstop for the euro area repo markets”
Greener energy mix would foster price stability, says Lagarde
More use of renewables would reduce chance of energy price spikes
Lagarde says ECB may need to tighten above neutral rate
ECB president confirms central bank will announce QT plans in December
ECB sets 2024 climate change deadline for big eurozone banks
Most ECB-supervised banks failing to implement climate change plans, Elderson says
Eurozone inflation reaches new record of 10.7%
Energy is main driver, but inflation is rising in all sectors, Eurostat figures show
ECB paper looks at impact of financial channel
Large holdings of foreign-denominated liabilities increases importance of FX moves, paper says
ECB increases rates by 75bp for second consecutive time
Governing council tightens TLTRO III rates and lowers reserve remuneration
Credit is tightening for eurozone firms and households, says ECB
Loan demand from firms increased but fell from households, survey finds