Liquidity
How Afghanistan’s central bank can help prevent famine
Rules could be devised to allow the New York Fed to ease the acute US dollar banknotes shortage, writes Warren Coats
‘Flood’ of reserves may not boost liquidity, say Acharya and Rajan
Central bank balance sheet expansion could harm liquidity in some cases, former RBI officials find
Over half of central banks modified collateral policies during the pandemic
Most reduced haircuts on banks’ collateral
Cyber security risks rose most in the past year
Operational and market risks also increased
Down but not out: US Libor trading continues amid ban
Outgoing rate hits market share lows in US swaps but little dent made in listed markets
RBI flags ‘emerging signs of stress’ in small firms
Stress tests indicate rise in Indian non-performing assets likely in coming months
2021: The year in review
The year has seen central banks switch from recovery mode to battling inflation. Central Banking looks back at the stories that made the biggest impact in 2021
US prime fund swing pricing proposal sparks industry alarm
Some fear SEC rule would repel investors; high liquidity requirements could make funds uneconomic
ECB ends liquidity relief measures for banks
Lenders have not used buffers and coverage ratios exceed minimum levels, data shows
Trade credit helped amplify initial Covid-19 shock – BdF paper
Net borrowers of trade credit faced sharper liquidity squeeze, researchers find
Masaaki Shirakawa on lessons from crisis and how to reform central banks
The former governor reflects on a turbulent 40 years at the Bank of Japan, and considers how central banks might face up to the challenges of the future
Reserve Benchmarks 2021 – presentation
Central Banking’s reserve subject matter specialist Victor Mendez-Barreira speaks with Chris Jeffery about liquidity, reserves coverage, external partners, human and tech resources, and ESG implementation
IMF criticises Chilean pension withdrawals
Fund says crisis measure was excessive and now threatens process of market deepening
New Zealand banks well positioned to face new Covid shock, says RBNZ
Central bank carried out both solvency and liquidity stress tests in 2021 exercises
PBoC cuts reserve requirements
But easing measure partially offset by withdrawal of other liquidity support
BIS calls for systemic approach to non-banks
“It is essential to reduce the need for emergency central bank support,” says report
Quarles says Congress should rein in Fed funding
Former vice-chair for supervision calls for new body to wind down liquidity programmes
BoE opens sharia-compliant facility after six years of work
‘Wakalah’ liquidity facility designed to address disadvantage faced by Islamic banks
How Turkey’s president created chaos in economic policy-making
Observers allege presidential domination of the central bank, unauthorised FX transactions and untrustworthy statistics
IMF renews Mexico’s Flexible Credit Line
Two-year programme reduces funds from about $61 billion to $50 billion
PBoC hints at tilt to easier policy as growth slows
Third-quarter monetary policy report tweaked phrases, downplaying opposition to easy policy
CPMI proposes ‘global settlement window’
BIS committee says window could work as focal point for aligning payment systems worldwide
ESG for central banking focus report 2021
The report flags challenges for central banks themselves – as guardians of the financial system, they have a duty to lead by example. But the lack of liquidity within ESG-compliant assets is proving a problem for many
Reforming FX reserve and macroeconomic management for ESG
Arnab Das, global market strategist, Europe, the Middle East and Africa, at Invesco explores why central banks must play a role in ESG risk mitigation, management and prevention, as they are expected to during wars, pandemics and other major shocks.