samchain/econo-pairs-v1 huggingface dataset:
On one hand, because, despite the fact that the rate of increase of doubtful assets has eased, the setting aside of provisions for impairment will continue to weigh down profits. And on the other, because the narrowing of the net interest margin resulting from higher financial costs will hardly be offset by bigger volumes of activity. Accordingly, reducing overheads, which must be quickly and resolutely done, is the main instrument for softening these adverse effects on profits. Spain and the Spanish banking system need their creditors to roll over the funding they have extended to them. The best way of achieving this is to demonstrate day by day that banks and savings banks are healthy and profitable, and that their profit and loss accounts provide them with the flow of funds needed to honour all their commitments. Conclusions I shall conclude by reiterating the central idea in my speech. The government has already taken various measures in the right direction. What is important now is to persevere along these lines, adhering to two underlying principles: budgetary austerity that provides for fiscal consolidation, and structural reforms. As regards the banking sector, those responsible for its supervision and regulation, and most importantly the institutions comprising the sector, must complete the restructuring under way. 6  BIS Review 161/2010  There can be no room for wavering, as that can only give rise to interpretations that undermine our creditors’ confidence. In sum, the reforms in train must be seen through, so as to cement international investors’ confidence. Thank you.

In striving for clarity, the merged groups should place particular emphasis on explaining clearly and transparently how they have treated potentially impaired assets in the mergers. They should offer not only quantitative information but also explanations so that this information is interpreted correctly. –  Second, banks should continue resorting to international markets to roll over their wholesale funding. As stated, the loan from the Eurosystem has progressively declined and institutions should persevere along these lines. It is vital to remain active in euro interbank markets, to participate in the central counterparty clearing houses and to resort to the primary markets and, insofar as the latter allow them, to extend the average maturities on their funding. BIS Review 161/2010  5  But they must also report to investors that business is as normal. The regular supplementary information I referred to in the previous point should include a section that reports on the status of wholesale funding, with a breakdown of instruments, the corresponding collateral and their duration. –  Third, perseverance in the mergers under way, particularly in the savings bank sector, is vital. The progress to date has been most significant and institutions are meeting the deadlines. But further progress in this connection is needed, and there must be no wavering in the integration plans agreed upon. This phase foresees creating the new institutions and setting out the terms of their governance.
There is one other arena where clearer rules of the game would be of great value - the Commercial Court. After 13 years, we have at last drawn a line under the BCCI case, the most expensive fishing expedition in history. It ended as a comprehensive victory for the Bank, both on the substance of the case and on costs. The trial set new records - the longest opening speech in English legal history, an even longer reply, and almost certainly the most expensive commercial litigation ever. It is for others to comment on the behaviour of those who brought a case that even they described as a blood sport. I can presume only that they were allowed to play within the rules of the game. In which case, it is the rules of the game that should be questioned. A legal framework for enforcing contracts and resolving disputes is not just an arcane process which allows professionals to earn vast fees, but an integral part of the infrastructure of a successful market  2  BIS Review 61/2006  economy. It matters that there are simple, clear and timely ways of resolving disputes. What the BCCI case revealed was a legal system incapable of guaranteeing that. How can a case described by the trial judge himself as built “not even on sand but on air” take thirteen years and over £ million in costs to come to a conclusion?

For many years, the Bank operated several times a day in  BIS Review 61/2006  1  the money markets, but that hyperactive approach did not succeed in stabilising the overnight interest rate which remained more volatile than in most other advanced countries. It was important to move to a simpler system in order to reduce that volatility, and the new system of money market operations, which was introduced last month, has done precisely that. The Bank now deals in the markets only once a week. Almost all banks and building societies now have access to the Bank. And they no longer have to balance their books with us at the close of business every day, but instead must achieve a target balance with us on average over the month running between MPC meetings. For the first time in its history, the Bank pays interest on reserve balances held by the commercial banks with us. The rate paid by the Bank on those reserve balances is the rate set by the MPC - Bank Rate is back. Great credit is due to the teams led by Andrew Bailey and Paul Tucker who together managed the introduction of the new system, proving that, as Cameron Cobbold remarked in 1958, “the Bank is a bank, not a study group”. The 1997 reforms also changed the rules of the game for communication between the Bank and financial markets, and I would like to say a word about what they are.
The average debt ratio is then higher than 200 per cent in all of the income groups, and in fact highest in the lower income groups (see Chart 3). If we look at households instead, which may be reasonable considering that many borrowers in fact live in a household with more than one income earner and thus share responsibility for servicing the loan, the picture is till one of high debts in relation to incomes in all of the income groups. And here too it is clear that the highest debt ratios are mainly to be found among low and middle-income earners. Our results thus contradict the picture that it is only those with high incomes that have the highest debt ratios, that is those who are traditionally regarded as having a higher level of  BIS central bankers’ speeches  5  eduction, a stronger position on the labour market and wealth that they can draw from in difficult situations. Chart 3. Debt ratios in different income groups Per cent 800 700 600 500 400 300 200 100 0 1  2  3  All households (SOU)  4  5 6 7 Income deciles  Indebted individuals  8  9  10  Indebted households  Sources: SOU 2013:78 and the Riksbank  High debt ratios are not only a metropolitan phenomenon It may also be of interest to look at the geographical distribution. It has often been claimed in the debate in recent years that debts are mostly a “Stockholm problem”.

3  One explanation of this is that a household’s propensity to consume is affected by how highly indebted the household is. Studies have found that a highly-indebted household reduces its consumption more in a crisis than a lowly-indebted household. See, for example, Andersen, A.L., Duus, C. and Jensen, T.L. (2014), “Household debt and consumption during the financial crisis: Evidence from Danish micro data”, Working Paper, Danmarks Nationalbank and Mian, A. Rao, K. and Sufi, A. (2013), “Household Balance Sheets, Consumption, and the Economic Slump”, Quarterly Journal of Economics 128(4), pp. 1687–1726. 2  BIS central bankers’ speeches  total level of indebtedness. 4 I would also like to point out the difficulties that many individuals experience when bad times coincide with high private debts. An additional factor is that mortgage lending forms an important part of the Swedish banks’ assets, which means that the financial system is sensitive to risks linked with indebtedness. The banks fund as much as three-quarters of their lending for housing purposes on the market for covered bonds and access to funding on this market is based on Swedish and foreign investors being highly confident in the safety of the the underlying assets. If confidence wanes, funding costs may increase and access to funding may decline. This would disrupt the functioning of the financial system and thus have a direct negative effect on financial stability.
Benchmarked against selected countries within the region which do not regulate commission payment, the commission rate currently earned by Malaysian agents remains relatively high compared to the benchmarked rates of between 140% to 150%, as seen in other jurisdictions. This excludes other agency-related benefits which are also allowable under the OCC guideline. BIS central bankers’ speeches  1  Some have argued that the current commission levels are too low as the commission structure has not been revised since the Guidelines were first introduced in 1996. However, closer scrutiny shows that agency income from commissions had increased in absolute terms in line with the increase in average premiums size. The average size of new business grew by 9% per annum over the last decade while in-force premium size recorded a compounded annual growth rate of 5%. Hence, the commission income of productive agents has in fact been growing in excess of the consumer price index and national average wage inflation. The world is constantly changing, the transformation that is taking place in the financial sector landscape also warrants a suitable change in the regulatory framework which the industry must be prepared to embrace and adapt to, going forward. The OCC had served its objectives well to keep operating costs reasonable to ensure policyholders’ interests are preserved. To enhance greater efficiency and facilitate a more competitive market environment, the Bank will accord greater operational flexibility to the industry in determining amongst others, the commission structure for its agents and other intermediaries.

With these Guidelines in-force, the Board of Directors of respective FAs are now required to establish the necessary processes to ensure proper monitoring of the quality of the advisory process conducted by FA representatives, and we expect FAs to deal firmly and expediently in the event of non-compliance which results in mis-selling or the provision of inappropriate advice. I am greatly encouraged to see the continuing growth of the FA industry and today’s event marks a significant milestone for the industry as a whole. The theme of this Conference, “Charting New Frontiers – Financial Advisers the Future” is well-timed and reflective of the  BIS central bankers’ speeches  3  changes we are now experiencing as our nation progresses towards a high-income economy. Once again, I would like to congratulate AFA on its official launch and look forward to meaningful contributions from the Association in driving the financial advisory sector forward. On this note, I wish you all a successful and productive Conference. 4  BIS central bankers’ speeches
The first objective is to obtain the securities at competitive and appropriate prices for the Federal Reserve, as doing so will ultimately benefit the U.S. taxpayer. The second objective is to minimize any negative effects that the purchases might have on the functioning of financial markets. As I noted in a speech in October 2010, the liquidity and efficiency of the Treasury market provide tremendous benefits to our economy, and the Desk was intent on designing a purchase program that would not diminish those benefits in any meaningful way. 3 To achieve these objectives, the Desk relies on a system in which it purchases securities through reverse auctions with a set of established counterparties called the primary dealers. 4 The securities that are eligible for each operation and an indication of the total size of the operation are announced in advance. 5 Dealers then submit offers to sell those securities, either for their own accounts or on behalf of their customers, over a 45-minute period on the morning of the operation. Those offers are assessed by the Desk based on two criteria: their proximity to market prices at that time, and an internal methodology for comparing the relative value of the securities at the offered prices. 6 This process occurs over a proprietary trading system called Fedtrade under the oversight of Desk staff, and the results are typically finalized and published within a few minutes of the close of the operation.

While facing numerous and difficult challenges, the country has continued to produce university and college graduates of international standards year in year out. This situation would not have been possible, had it not be for the past tremendous contributions and personal sacrifices made by a number of citizens under the guidance of leaders who had great foresight and fortitude. The dedication and ingenuity of our teachers and lecturers both in the past and today, have also massively contributed to the economic development we have achieved to date. I have no doubt that our nation needs more of such outstanding and dedicated citizens at all levels of society to take our country’s development to a higher level. Mr President, as we speak, Zambia’s economy is facing numerous challenges emanating from the global financial turmoil. As you are no doubt aware, the crisis has already resulted in a reduction in commodity prices including that of copper. The Zambian foreign exchange market has also been partly affected as is reflected in the volatility and weakening of the Kwacha exchange rate in the recent past. The result of all this is lower Government revenues and more expensive imports which would in turn culminate in higher inflation. Unfortunately, for a low income country like Zambia, lower Government revenue entail lower spending on social amenities including Education and Health. High cost of goods and services also mean that most of our citizens would not afford to educate their families.
Uncertainty rose, growth in other advanced economies slowed, financial conditions tightened, and both the public and 9  These annual stocktakes serve two purposes. First, they provide the MPC with a regular opportunity to step back from the month-tomonth flow of economic data and consider supply-side developments as a whole and over an appropriately lengthy time period. Second, by undertaking routine systematic annual assessments of the supply-side, rather than addressing the issues ad hoc from quarter to quarter, we hoped to provide clarity on our analytical processes to observers outside the Bank. 10 See the August 2014 Inflation Report. The equilibrium unemployment rate depends on the horizon being considered, as wage pressures can arise for many reasons and some factors will be more persistent than others. These figures are the MPC’s estimates of the medium-term equilibrium unemployment rate, the measure most relevant for gauging wage pressures over the MPC’s three-year forecast period. This is distinct from the MPC’s estimate of the long-term equilibrium unemployment rate – which depends on structural factors such as the extent to which potential employees are aligned with vacancies in terms of skills, location and occupation; the benefits regime; and the influence of trade unions on wage bargaining – and which remained at 5% during this period. 11 See ‘The spirit of the season’, speech by Mark Carney at the Economic Club of New York, 9 December 2013 and the box on page 40 of the February 2014 Inflation Report.

23.07.2020  Challenges for the Spanish economy in the face of the impact of the pandemic Webinar Economy, work and society in Spain. The impact of COVID-19. Spanish Economic and Social Council (CES) Pablo Hernández de Cos Governor  Honourable Minister for Labour and Social Economy, Chair of the Spanish Economic and Social Council, ladies and gentlemen, Good morning. It is a pleasure to be able to participate today in this presentation of the Annual Report of the Economic and Social Council (CES). As earlier highlighted, its content goes beyond the 2019 timeframe of events and delves into the challenges that the COVID19 pandemic entails for the economy, for social cohesion and for the labour market in Spain. In this respect, the CES and the Banco de España have concurred in recent weeks that our respective studies and annual reports should strive to be useful instruments that help society face these challenging times. An incipient, incomplete, uncertain and uneven recovery The COVID-19 pandemic has exacted a very high price in terms of human lives as well as deep-seated disruption to society and the economy. As a result, the dynamics marking the global and Spanish economic environment in late 2019 and early 2020 have been abruptly altered. Specifically, the pandemic and the lockdown measures to combat it have affected all economies most adversely.
The weak euro affects us at the macroeconomic level in two ways: it has a dampening effect on our price level; and it reduces net external demand on our economy. To offset these influences - to prevent overall demand growth falling short of underlying capacity growth, causing inflation to fall significantly below our 2½% target - and I remind you it is a symmetrical target - we have had to keep interest rates lower than would otherwise have been necessary, in effect encouraging stronger domestic demand growth, to keep the economy as a whole on track. The risk in this approach, of course, is that we could find it difficult to moderate the pace of domestic demand growth to a sustainable rate as and when the euro recovers. But that’s a bridge we will need to cross when we get there. Now some of you involved in those sectors that are suffering most from the weakness of the euro would - from your own perspective - like us to go further and try more actively to drive the exchange rate down. As I say, if I were in your shoes, I’d be tempted to argue that myself. Euphemistically it is suggested that we should “pay more attention to the exchange rate” - than, as I’ve explained, we do already.

We are among the most transparent central banks anywhere in the world. Our debate is informed by a huge input from our very able professional staff both in London and in our Agencies throughout the UK, and I’d frankly be surprised if you were able to identify any relevant issue that we have not considered in one way or another. Indeed I would very much hope that you would let me know if you did. I don’t plead ignorance; I plead intrinsic uncertainty. Monetary policy operates with a lag, having its full effects only after about a couple of years. Unlike some outside commentators apparently we know we don’t have a crystal ball. Our judgements are necessarily based upon a very careful assessment of the balance of risks at the time, continuously updated in the light of the constant flow of information of all kinds relevant to that assessment. That’s the nature of the process. Given that, I would not expect, and you would not reasonably expect me, to be able to demonstrate to you that we have precisely the “right” answer at any particular time. But I can promise that if the evidence changes in either direction so too will our assessments. You can of course question our processes, our interpretation of the data or the quality of our analysis - it’s there for all to see. But ultimately the proof of the pudding is in the eating, and it is only on average and over time that our policy decisions can sensibly be judged.
The average weekly wage in the education and health services sector is $ in the professional and business services sector it is $ and in the mining sector, the average weekly wage is $ Together these three sectors account for 68 percent of the jobs that have been created in Texas in the past two years. I should point out that in 2010, 9.5 percent of hourly workers in Texas earned at or below the federal minimum wage, a share that exceeds the national average of 6 percent. California’s share was 2 percent and New York’s was 6.5 percent. Texas and New York do not have a state minimum wage that is higher than the federal minimum wage.1 At least 17 states do have minimum wages that are above the federal level of $ California’s minimum wage, for example, is $ The agricultural sector has a relatively high share of minimum wage workers. Approximately 2 percent of Texas’ workers are in the ag sector, whereas 1.1 percent of California’s workforce and a mere 0.5 percent of New York’s workforce are employed in agriculture. This is true especially in the border area, which also has many migrant workers and where the level of education is relatively low. Finally, Texas has a younger workforce than the nation,  1  4  See “Minimum Wage Workers in Texas,” http://www.bls.gov/ro6/fax/minwage_tx.htm.

But I have suggested to my colleagues that while many companies have begun and will likely continue to raise prices to counter rising costs that derive from a range of factors – including the run-up of commodity prices in 2010 and increases in the costs of production in China – weak demand is beginning to temper the ability of providers of goods and services to significantly raise prices to consumers. My concern is with the transmission mechanism for activating the use of the liquidity we have created, which remains on the sidelines of the economy. I posit that nonmonetary factors, not monetary policy, are retarding the willingness and ability of job creators to put to work the liquidity that we have provided. I have spoken to this many times in public. Those with the capacity to hire American workers – small businesses as well as large, publicly traded or private – are immobilized. Not because they lack entrepreneurial zeal or do not wish to grow; not because they can’t access cheap and available credit. Rather, they simply cannot budget or manage for the uncertainty of fiscal and regulatory policy. In an environment where they are already uncertain of potential growth in demand for their goods and services and have yet to see a significant pickup in top-line revenue, there is palpable angst surrounding the cost of doing business. According to my business contacts, the opera buffa of the debt ceiling negotiations compounded this uncertainty, leaving business decisionmakers frozen in their tracks.