samchain/econo-pairs-v1 huggingface dataset:
In my opinion, a balance must be sought between the structure of ownership of a credit institution in resolution and the origin of the public funds which may be used in the process, with home country fiscal authorities covering the majority of the proceeds, once the asset quality review has proven that host country supervision was carried out correctly and effectively. I hope that an appropriate solution will be found to this matter, the same as in the case of the concerns voiced by some non-euro area countries in the early stages of the Banking Union project. What I have in mind is the issue of the representation in the decision-making mechanisms and that of the contribution requirements in the event of their opting in the Banking Union. Both concerns have been addressed during the negotiations. Specifically, the unequal status of non-euro area countries in the single supervisory mechanism decision-making bodies – given their lack of representation in the Governing Council of the European Central Bank, even though they enjoy representation in the Supervisory Board – has been addressed by establishing a mediatory body which would intervene in case a decision of the Supervisory Board is overturned by the Governing Council. BIS central bankers’ speeches  5  Furthermore, the current decision-making setup of the Single Resolution Mechanism ensures equal treatment of the countries participating in the Banking Union, regardless of whether they are Eurozone countries or countries that have established “close cooperation”.

Ravi Menon: Powering the next stage of Singapore FinTech Speech by Mr Ravi Menon, Managing Director of the Monetary Authority of Singapore, at the Singapore FinTech Festival “The Green Shoots Series – Leading Through a Crisis: Up Close and Personal with Mr Ravi Menon”, Singapore, 13 August 2020. * * *  Five years ago, we had a vision – to make Singapore a Smart Financial Centre. A financial centre where innovation is pervasive and technology is used widely – to increase efficiency; to create new opportunities; to manage risks better; and most importantly to improve people’s lives. A new buzzword was emerging on the scene – “FinTech”. We set our goal to become a leading global FinTech hub. At the core of our drive was a conviction that technology will fundamentally transform financial services … … that if our financial sector stood still, we would be swept away by the tides of technological changes. And the tides were coming in fast: digital and mobile payments; block chains; cloud computing; big data and analytics; AI and learning machines. Together with the industry, MAS set about creating a FinTech ecosystem that embraced both incumbents and insurgents. We wanted to facilitate the digital transformation of established financial institutions so that they can innovate and compete with the best. We also wanted to support FinTech firms outside the financial sector who were innovating new ways to provide financial services.
And Norges Bank has been assigned a clear responsibility for ensuring price stability. We are well poised to tackle inflation while avoiding large costs in the form of high unemployment. The Storting has granted Norges Bank independence to set interest rates. With that independence comes substantial responsibility. The decisions we make have far-reaching consequences for a great many people. That is why it is important for us to be open about the basis for our assessments and the trade-offs we make. It is a sign of a healthy society that we engage in debate about different issues, including monetary policy. Transparency also involves acknowledging uncertainty. The past few years have reminded us that unexpected events can abruptly change the economic outlook. But there should never be any doubt that Norges Bank will do the job we have been given – to ensure low and stable inflation. Norges Bank  Economic perspectives 2023  12

On the other, the fiscal and monetary policy measures implemented could support the recovery more strongly than anticipated. Swiss economic outlook  Through to late summer, the Swiss economy also recovered markedly and more strongly than originally expected from the first wave of the pandemic. Following a record increase, GDP Page 2/4  Zurich, 17 December 2020 Thomas Jordan  News conference  was still 2% below the pre-crisis level in the third quarter, having been more than 8% below in the second quarter. However, in October coronavirus also spread rapidly again in Switzerland. This has resulted in a renewed deterioration in the economic outlook, at least in the short term. The containment measures implemented thus far are restricting economic activity less than was the case in the spring. However, certain industries are severely affected again, above all hospitality and entertainment. Sentiment is also subdued in other industries. Economic momentum is thus likely to be weak in Q4 2020 and Q1 2021. We expect that GDP will shrink by around 3% this year. At our monetary policy assessment in September, we had anticipated an even stronger decline. The revision is due to the fact that the decrease in GDP resulting from the first wave of the pandemic was not as substantial as originally expected. Developments going forward largely depend on how successfully the spread of the virus can be contained in Switzerland and abroad. Our assumption is that there will not be a significant easing in the containment measures in Switzerland until the spring.
Recently some funds have invested in “alternative” assets such as hedge funds, private equity and infrastructure, and structured credit. Shares in closed-end funds are traded like other equities. The funds may issue their own debt to obtain leverage. They may also issue different classes of shares with different entitlements to income or capital receipts from the underlying investments. CP (Commercial paper) conduit. A SPV that issues CP backed by financial assets originated by one or more sellers. They are generally supported by liquidity facilities provided by their sponsor or a third-party bank. DPC: Derivative product company. A bankruptcy-remote structure that houses credit risk from long-dated derivative transactions. They are typically wholly-owned subsidiaries of financial services companies. In general, DPCs sit between their sponsor and an external counterparty in derivative transactions and protect the counterparty from the potential default of the derivative seller (the sponsor). Monoline insurance companies. Monoline insurance companies provide protection against a specific type of risk (typically credit risk). Originally developed in the 1970s to provide US municipal bond holders with credit guarantees (or  BIS Review 44/2007  7  “wraps”), over the past few decades they have diversified into the ABS and CDO markets (particularly the highly-rated senior tranches). SIV: Structured Investment Vehicle. A SPV that funds a diversified portfolio of highly rated assets by issuing short-term commercial paper, medium-term notes etc. In general, there is a maturity mismatch between their assets and liabilities. They aim to generate a positive spread between their return on assets and funding costs.

BIS Review 66/2002  7  Despite these positive results, Norges Bank has decided to modernise the current settlement system because the existing system is complicated and tightly interwoven with other systems. This makes the settlement system vulnerable. Operation and maintenance of the current system also require relatively extensive resources. Following discussions with the banking industry about the division of responsibility and organisation of the Norwegian clearing and settlement system, it has been decided that the current division of responsibility will remain virtually unchanged. Banks will be responsible for gathering transactions and for netting and Norges Bank will be responsible for settlement. Norges Bank has decided to outsource the operational activities of settlement. We are currently preparing an invitation to tender for prospective partners. We will devote considerable attention to these issues in the future. We assume that we will have a definite plan for the site of our settlement operations by summer 2003, with implementation next autumn. International recommendations and work The Committee on Payment and Settlement Systems (CPSS) in the Bank for International Settlements (BIS) has established a separate Working Group on Retail Payment Systems. In September this year, the working group submitted a report on “Policy issues for central banks in retail payments”. 11.
One challenge consists of further developing the technology and expertise gained in oil production and oil services. Costs have been brought down at many stages to strengthen competitiveness in response to lower oil prices. If we succeed in this endeavour, the oil industry will continue to be a pillar of the Norwegian economy for many decades ahead. The other challenge lies in paving the way for growth in other industries and replacing the revenue shortfall and jobs shed in the oil industry owing to lower activity levels. The groundwork is in place. In recent years, the Norwegian financial system has been strengthened. During a period of restructuring, it is crucial that banks are in a position to channel credit to projects and businesses that will generate new growth. We have more fiscal policy muscle than most countries, but it must be used sensibly. The social partners seem to understand the gravity of the situation and are prepared to do their share. Monetary policy can be geared to facilitate the necessary structural changes. Norges Bank is in its 200th year. As a central bank, we have a responsibility to promote economic stability. In addition, the Bank is responsible for managing Norway’s collective financial wealth. The responsibility we have been given cannot be taken for granted. It is a mission that must be merited. Under the parity policy of the 1920s, the economic downturn was amplified by the desire to return to parity. In hindsight, that policy was described as oneeyed.

We must avoid a self-reinforcing decline in output and employment and hence a decline that is more pronounced than necessary. But an increase in the spending of petroleum revenues should primarily be used to finance temporary measures that are easy to reverse. Fiscal policy must also take into consideration that lower oil prices will reduce the government’s spending capacity in the longer term. In recent years, we have sold large volumes of oil and gas at good prices. The transfers to the government’s savings account have been substantial. The picture is now quite different. If oil prices remain at today’s level, government revenues will fall sharply. The present value of future income can in that case be estimated at a fourth of today’s oil fund, the Government  BIS central bankers’ speeches  9  Pension Fund Global (GPFG). 6 That means that most of the government’s petroleum wealth may already have been deposited in the GPFG. The year 2015 may stand as the last year of net transfers to the GPFG. Already when the budget for 2016 was presented, there were prospects that the spending of oil revenues would exceed actual income from petroleum activities. 6  10  The estimate is based on impact calculations in the National Budget for 2016 (page 31) based on a long-term oil price of NOK 400 per barrel at constant 2016 NOK.
At this point, let me clarify certain points with regards to the floating exchange rate regime, which has been implemented in Turkey since 2001 and in almost eighty countries all over the world up to now. This has to do with the exchange rate being among the first contracts to be operative in the Turkish Derivatives Exchange, as well as its significance within the context of risk management, which is the primary function of derivatives markets. As we have emphasized at all times since the first day of the floating exchange rate regime in Turkey, under this regime exchange rates are determined by supply and demand conditions. The level of the exchange rate is shaped by economic developments, external shocks, and expectations and fluctuations in the risk premium are applicable to all of them. Neither the Central Bank nor any other authority has any commitment or target whatsoever as regards the level of exchange rate. 3  Bank for International Settlements (2004), “Triennial Central Bank Survey of Foreign Exchange and Derivatives Market Activity in April 2004”. 4  Chinese proverb. 4  BIS Review 17/2005  At this point, I would like to underline two points missed by those who held the opinion from the start that the floating exchange rate regime could not be implemented in Turkey, as the risk in this regime was too high, there would be too much volatility in the foreign exchange markets, and the economy, especially the foreign trade would be adversely affected as a result of these.

But the world of finance is moving forward not only in the realms of such highly complex or sometimes - dare one say - gimmicky instruments. Continuous change and innovation are observable at the more prosaic level too. Looking at Hong Kong alone, over the past year there has been an impressive list of innovations, actual or planned, in the financial sector. These are not necessarily all of specific interest to the corporate treasurer but are nonetheless significant in a more general context. Thus, first, we have established a reciprocal link with South Korea for access to each other’s bond settlement and custody systems (following earlier links of this sort with Australia and New Zealand). Next, Hong Kong has launched the Tracker Fund as a means of disposing of part of the Exchange Fund’s Hong Kong dollar equity portfolio; although this bears many characteristics of a conventional index-tracking unit trust, it also has some unique innovative features. In addition, the Hong Kong Mortgage Corporation has successfully introduced its first mortgage-backed securities programme. And notes issued by HKMA and HKMC have been listed on the stock exchange for the first time. Finally, we are preparing a US dollar clearing system which we hope will offer a wider range of facilities than any other offshore clearing; I would not want today to anticipate the more detailed announcements about the planned timetable for this project, which we expect to make shortly. The foregoing is not necessarily an exhaustive list of changes which are being implemented here.
Four times a year the Riksbank produces a so-called inflation report. This is a detailed account of the state of the Swedish economy, which leads to an assessment of inflation in the coming two years. These assessments are based on the development of GDP, investments, consumption, public expenditure, the central government budget balance, foreign trade and various prices. The forecast horizon is adapted to the time period that “the Riksbank’s weapon”, the so-called repo rate, has an effect on the economy. 3. The morning after the Executive Board has made an interest rate decision, which normally takes place 6-8 times a year, the decision is published with a motivation in a press release. The Governor of the Riksbank, the Executive Board member responsible for preparing the monetary policy decisions and some of the Bank’s economists also take part in a press conference and answer questions when decisions have been made to change interest rates or when the so-called inflation report is published. 4. A few weeks after the Executive Board has had a monetary policy meeting, minutes are published from the Executive Board meeting where the submissions made by the different Board members are presented anonymously but where any reservations against the inflation report and/or majority decisions on the interest rate are reported stating names. The Riksbank, together with the Bank of England, has a distinctive position among central banks with regard to openness. In this respect the Bank of England has shown the way for the Riksbank.

Opening up the market to competition and authorizing a second credit bureau in 2016 was a further step towards improving the quality of services provided to credit institutions and consumers. The range of products offered has expanded to include new decision-aiding tools, such as “behavior scoring”, “portfolio monitoring” and “alerting”. In close coordination with the Ministry of Economy and Finance, Bank Al-Maghrib is currently working to rapidly develop the legal and regulatory framework of “credit bureaus” in order to expand its scope to other nonfinancial data providers, including telecom operators and water/electricity suppliers. This will help the unbanked population to have access to financing, as demonstrated by the experience of pioneering countries in this area. 2  As regards the implementation of the second pillar, the Bank has undertaken since 2016, in collaboration with the IFC, an appraisal of the existing system and has identified the characteristics of the future credit registry. In this connection, today’s seminar is a real opportunity for us to learn about the experiences of forerunners in this field, with a view to finalizing our own roadmap. Ladies and gentlemen, Six regulators, well known for their optimal use of credit registries, will present to us today how they use credit reporting data to achieve their core missions, particularly micro and macro prudential regulation, systemic risk control and monetary policy, and strengthen off-site supervision.
Moreover, entry into the EU and reforms in the tax and social security systems helped create better conditions for economic growth. Today, Sweden's central government finances are healthy, there is a surplus in the current account, inflation expectations are anchored around the Riksbank's target of 2 per cent and unemployment has fallen to a level that is far below the European average. Potential growth The decisive factor for economic growth and thereby the resources available for wage increases, earnings or an expansion of the public sector is the economy's long-term production capacity. Another term for this is potential growth, which determines the rate at which the economy can grow without giving rise to inflationary pressures. So it is demand in the economy in relation to production capacity that to a large extent determines the future path for inflation. Potential growth is therefore of vital importance for monetary policy. In turn, the long-term production capacity is determined by how much we work (the labour supply) and how productive we are (productivity). The labour supply depends partly on the number of people that work and the number of hours each person works. Important factors here include the age structure in the economy and the number of people on sick leave. Productivity is partly dependent on investment and technological progress - for example that machinery becomes more modern or that it is employed more efficiently. Educational levels also affect productivity. Knowledge can be put into practice in production and increase opportunities to assimilate new ideas and innovations.

Social progress is one of the key objectives of the European integration process: “The Union shall work for the sustainable development of Europe based on balanced economic growth and price stability, a highly competitive social market economy, aiming at full employment and social progress … It shall combat social exclusion and discrimination, and shall promote social justice and protection, equality between women and men, solidarity between generations and protection of the rights of the child”. (Article I–3 of the draft European Constitution). Welfare is not only a remedy for the failure of insurance markets, but also a tool to promote inclusion, solidarity and a sense of fairness. In the three post-war decades (the so-called “Golden Age”), which especially in Europe were marked by high growth rates, use of advanced technologies, high growth employment, stable lifetime employment, welfare started to emerge, at different times and on different scales depending on the country, as an integrated system that protects its citizens from significant risks. The European model redistributes many more resources for social purposes than the US and Japanese systems: on the eve of the crisis, the total expenditure on pensions, unemployment benefit, for children and families was, in relation to GDP, more than twice that of the US and Japan. This can take different forms as regards the composition of social policies and the degree of labour protection.
Large countries have been toughening restrictions on foreign acquisitions and flow of technologies. The US Committee on Foreign Investments objected to a record number of requests by overseas investors in 2017. The EU is planning to implement a screening framework for cross-border acquisitions. US tax reforms may potentially have adverse consequences for international trade and investment flows. The finance ministers of France, Germany, Italy, Spain and the UK have written to the US, warning that some provisions of the US Tax Cuts and Jobs Act may contravene international trade agreements and tax treaties. For example, a 20% excise tax could be imposed on payments an American company makes for buying goods or services from its foreign subsidiary. We will do well not to get complacent about the return of “mama bear” because the underlying causes for populist anger and support for protectionism are deeply rooted. Income inequality in many advanced economies remains wide. According to research by McKinsey, two-thirds of households in the US and Western Europe have experienced stagnating or falling real income between 2005 and 2014. Trade and immigration are the obvious scapegoats for voters frustrated by the stagnation in living standards. The risk remains that some countries may erect trade and investment barriers and others may do so in retaliation. A protectionist spiral will almost certainly derail the growth momentum, not just for 2018 but beyond. “Baby Bear” - Financial Instability And finally, the “baby bear” of financial instability.

The government is expected to rein in local government spending, tighten curbs on residential property purchases, and seek to reduce excess industrial capacity. But the slowdown is likely to be measured and the risk of a “hard landing” has narrowed. A Goldilocks economy but three grumpy bears may not be far away A striking feature of the global economy is how subdued inflation has been despite broad-based economic expansion and highly accommodative monetary policies. This benign inflation environment provides the runway for very gradual monetary policy tightening and credit conditions remaining accommodative for longer. Many analysts have characterised the current configuration of healthy growth, low inflation, and easy financial conditions as a Goldilocks scenario: a global economy that is chugging along, not too hot, not too cold. And financial markets see this happy scenario as self-reinforcing, sustained, and accommodated over multiple years. This has supported high equity valuations, low bond yields and narrow credit spreads. But as David Skilling reminded us recently, the Goldilocks story is not complete without the three bears. The absence of the bears does not mean they do not exist. They could return any time. There are unseen risks out there – that we ignore at our peril. Each of us will have our own list of three bears. Let me share with you what I see as the three bears that might return to spoil Goldilocks’ happy stupor. My “papa bear” is inflation; “mama bear” protectionism; and “baby bear” financial instability.