samchain/econo-pairs-v1 huggingface dataset:
Furthermore, several European reforms currently under discussion have the same end goal of increasing transparency and data disclosure in order to improve market discipline and ensure that capital is allocated more efficiently. Thus, the Corporate Sustainability Reporting Directive (CSRD) will require large companies to publicly report on the alignment of their activities with the taxonomy from 2024 onwards. Likewise, we hope that a European regulation establishing a label for green bonds (EuGB) will be adopted by next summer. This voluntary label is expected to have stringent requirements, which will help to build confidence: proceeds from the bonds will go towards funding activities designed to achieve six environmental goals; ex ante and ex post transparency requirements will make it possible to assess the environmental impact of the funds raised; and most importantly of all, an external reviewer must 4/6  BIS central bankers' speeches  check that bond issues are compliant with environmental requirements. This reviewer must be a legal person that is registered with the European Securities and Markets Authority and, as such, subject to supervision modelled on that of credit rating agencies. In addition, the proposed CRD6 Directive provides supervisors with new means to integrate environmental, social and governance (ESG) risks in supervision, through the harmonised development of stress testing methodologies. The European Banking Authority (EBA) has also been tasked with exploring the question of including ESG risks in regulatory requirements, although persistent conceptual difficulties make calibrating these tools a tricky business.

Central banks are playing an active role in digital innovation. To support innovation while safeguarding the vital anchoring role of central bank money, the Banque de France is exploring the question of issuing a central bank digital currency, or CBDC. We carried out nine trials 5/6  BIS central bankers' speeches  between September 2020 and December 2021 on the issuance of a “wholesale” or interbank CBDC, acting in partnership with a diverse line-up of participants, including commercial banks. These trials showed that a CBDC could significantly improve cross-border payments and interbank processes, such as securities settlement, more generally. On the question of a retail digital euro, the Banque de France is making a full contribution to efforts by the Eurosystem, which, following preliminary work, began an investigation phase on 14 July 2021 aimed at analysing the pros and cons of such a currency. A final decision on whether to launch a digital euro will be taken in the final quarter of 2023 [SLIDE 8]. To preserve the strong complementarity between central bank money and commercial bank money that lies at the heart of our monetary system, the intermediation role of banks must be maintained and banks must be fully involved in this project. A CBDC will be created with banks, not in opposition to or in spite of them. On the climate front, the ECB has adopted an ambitious actionplan [SLIDE 8] to which the Banque de France made a decisive contribution.
It has come to symbolize our commitment to collaboration and consultation within the SADC Committee of Central Bank Governors (CCBG) and annually marks our contribution to the process of regional economic co-operation and integration. It is in this light that the Bank of Zambia applauds the favourable response from all central banks, individuals and other institutions represented here for allowing their members of staff to attend this event. As Bank of Zambia, we believe this event provides an excellent opportunity for exchanging views and sharing ideas in improving our national payment arrangements to foster economic growth and integration. Ladies and Gentlemen, lessons from the development of payment systems in the European Union and the United States of America provide a useful guide for emerging market economies such as ours. That be as it may, recent technological advancements and developments in China and India are also instructive as they glaringly indicate that it is possible to leap frog some of the historical development experiences of these major industrialized economies. However, it is without a doubt that this will require the concerted efforts and commitment of all those involved in the transformation of national payment systems to stay the course as challenges are abound. For instance, it is quite clear that consumer demand for payment services largely outstrip supply and more work needs to go into improving the outreach, efficiency and pricing of existing payment arrangements.

We all are aware from our own history that some kind of instrument and mechanism has always existed to  BIS Review 36/2007  1  facilitate trade and other endeavours. What is abundantly clear, however, is that given the increased mobility of the citizens within the respective SADC member countries between cities and rural areas and at times between member countries, the need for payment instruments and the attendant mechanisms to facilitate safe and efficient remittances is arguably the relatively newer phenomenon. It is therefore the expectation of the Bank of Zambia that the 2007 SADC Payment Systems Regional Conference will discuss some of the most important trends and other strategic priorities confronting banks, payment system businesses, merchants and other service providers involved in the delivery channel for payment and other financial services. This is imperative as it would facilitate the drawing up of a development agenda of future priorities and contextualise the future of payment system oversight. Ladies and Gentlemen, since the establishment of the CCBG a decade ago, methods of effecting payments and other financial transactions have quickly become sophisticated with a trend towards execution in real time electronic media. All this is taking place because consumer confidence is growing in these instruments and mechanisms, which have been supported by growing confidence in SADC member countries’ economies in general and stability of the national financial systems in particular.
Apart from being more comprehensive, such approach will help ensure that the economic cost of policy or regulation is spreaded out, thereby avoiding an undue burden falling on a particular sector of the economy or measure. Table 1. summarizes the policy framework along the line I have just described. The framework encompasses a three-pronged approach to address procyclicality, focusing on taming the business cycle, the financial cycle, and the risk-taking behaviour cycle through a combined use of macroeconomic policy, financial regulation, and other education and disclosure measures. On macroeconomic policy, especially monetary policy, the role of policy is to achieve longterm economic growth with stability. This means avoiding too-eased monetary conditions for too long by tightening policy when there are signs that risk is being underestimated and imbalance is developing. For financial regulation, its role is to reduce the procyclical behaviour in the financial institutions by limiting excessive risk-taking. And the role of education and disclosure is to promote greater awareness of risk by making available information to improve risk assessment by market, so that extreme shifts in sentiment and confidence are avoided. Important in this context for emerging markets is the abrupt shift in  BIS Review 160/2009  3  investors’ confidence that drives sudden reversals of capital flows and liquidity. But amongst all these measures, financial regulation remains the core approach to addressing procyclicality. This is because large and sustained booms on credit and asset prices, once they occur, are typically a reflection of the failure of financial institutions to manage risk.

It has long been a feature of the financial system in the market economies and always has a role to play in a financial crisis. The current crisis is no exception. The difference this time is that efforts are being made at the global level to systemically address the issue through the revision of international regulatory standards. The hope is that we can make progress on the issue by taking the right and balanced approach so that the issue can be tackled without unsettling the level playing field, without repressing financial developments and liberalization which is important for emerging markets, and without undermining the spirit of innovation which is the hall-mark of market economies. 4  BIS Review 160/2009
My impression is that economic agents and analysts are generally fairly close to the mark in their analyses when they attempt to predict the interest rate level. Chart: Summary  BIS central bankers’ speeches  7  When the inflation target was introduced, Norges Bank stated that it would place particular emphasis on stabilising inflation in the initial years. As inflation became more firmly anchored, there was broader scope for giving more weight to stabilising output and employment. In addition, we now have ten years of experience and insight. Compared with the first years, inflation targeting is now more flexible. When Haavelmo received the Nobel Prize, he reminded us that economic policy can be demanding. A failure to react to the build-up of imbalances undermines confidence in economic policy. If we tighten policy to rein in imbalances – and succeed – we are viewed in retrospect as having been unduly pessimistic. There is, though, reason for a certain degree of optimism. Theoretically anchored models and improved methods for quantifying them empirically provide a better basis for conducting an effective economic policy. Moreover, we use professional judgement, which we take on board when we apply and further develop models and the analytical apparatus in Norges Bank. Knowledge about relationships in the Norwegian economy, in conjunction with professional judgement, provides a good platform. Thank you for your attention.

Chart: Interest rate forecast with fan chart in the June 2011 Monetary Policy Report The interest rate forecast is shown in a fan chart. Our forecasts provide an expression of what we consider to be the baseline path. But the forecasts are uncertain, as illustrated by the fan chart. Our interest rate forecast is not an unconditional promise, but signals how we will set the interest rate if developments in the Norwegian economy are in line with our projections. The interest rate path presented in June indicated that the interest rate would gradually be raised towards a normal level in the next years. It followed that the interest rate would, with some degree of probability, be increased in August. This was conditional on the economic outlook we presented at that time. Chart: Interest rate forecast with fan chart and alternative scenarios in the June 2011 Monetary Policy Report The Bank’s Monetary Policy Report also presents alternative scenarios for the Norwegian economy. If developments are broadly in line with expectations, economic agents can expect that the interest rate will be set in line with that projected by Norges Bank. If conditions change, as was the case in August, Norges Bank will naturally adapt the monetary policy stance in the light of new economic prospects. Through our communication and the reports we publish, it is possible for an external observer to anticipate this reaction with a fair degree of accuracy.
Heng Swee Keat: Developments in Asia and Singapore’s insurance industry Keynote address by Mr Heng Swee Keat, Managing Director of the Monetary Authority of Singapore, at the GE/FICS Award Ceremony, Singapore, 24 July 2008. *  *  *  Mrs Fang Ai Lian, Chairman, Great Eastern Life, Mr Tan Hak Leh, Managing Director, Ladies and Gentlemen, It is my pleasure to be here on this happy occasion, made all the more significant as Great Eastern Life (GE Life) celebrates its centennial this year. For a corporation to achieve success for 100 years is a significant achievement. It attests to the agility and business acumen of its leaders, as well as the commitment of several generations of staff. Today, we celebrate GE Life’s achievement as the first insurer in Singapore to acquire accreditation as a FICS assessment service provider. This reflects well on GE Life’s commitment towards staff development. Developments in Asia and Singapore’s insurance industry Despite the recent financial turmoil, the life insurance industry has held up relatively well in this region. While regional economies would not be insulated from the global economic slowdown, the medium-term outlook for the region remains good. The pace of economic growth and wealth creation in the region will drive demand for a range of insurance products. Indeed, estimates from Swiss Re show that life and general insurance premiums have been growing at a faster pace than GDP in most emerging Asian economies.

This can be achieved if companies, agency managers and life agents take a collective long-term view and seek to build sustainable win-win relationships with their clients. Integrity pays off in a long-term relationship. Take care of clients’ interest, and the companies’ and agents’ interest will take care of itself. Management and supervisors play a critical role in ensuring that agents on the ground who interact with and advise consumers adhere to regulatory requirements, and to the fullest extent possible, industry guidelines on professional best practices. This is especially so for the more vulnerable segments of the population – the elderly and the illiterate, or the cashstrapped, who may fall easy prey to get-rich-quick schemes. I believe that with the collective partnership of all industry participants, individuals and regulators, we can preserve the credibility and reputation of Singapore as an insurance hub. Initiative The second value is initiative. As part of a national effort to raise the level of skills and competencies of Singapore’s financial sector workforce, the FICS was established to benchmark competency standards of financial professionals to international best practices. I congratulate GE Life for taking the initiative to become the first insurer to be successfully accredited for its assessment capabilities in underwriting, relationship management and claims handling under the FICS. GE Life’s agency force also forms the first batch of candidates who have successfully attained FICS certification in the insurance industry. Involvement The third value is involvement. The FICS awards reflect a whole-of-company involvement.
The role of supervisors – in-house initiatives As well as these initiatives, which may be considered external, we are also working in the Banco de España to adapt to this new reality. Firstly, we have created an internal function entrusted with assessing the impact we as an institution have on the environment. The aim is to articulate and coordinate the necessary measures to reduce that impact. Secondly, as a macroprudential supervisor, we clearly need to be able to assess and quantify the risks that the transition towards a more sustainable economy poses, both for individual banks and the financial sector as a whole. Among other functions, we need to be able to assess the level of financial institutions’ exposure to high-carbon emission activities, perform stress tests for the financial system overall and define scenarios and methodologies to be applied by banks individually. In consequence, we are designing internal governance structures and methodologies, actively participating in the cultural shift in the SSM supervisory model. Naturally, we are also evaluating the information and data requirements needed to address this challenge. Nor should we forget that central banks are also important investors in the debt markets, both in the area of monetary policy and reserve management. Although we have not yet included environmental risk assessment in our credit analysis, we are working to remedy this. 5  ESG - Environmental, Social and Governance.

Key among them are the interaction between sovereign debt and banking fragility and the problem of big banks in small countries – of which my country, Iceland, was a prime example and Cyprus is the latest. I will expand on this shortly. The financial crisis and the policy responses to it, especially some of the drastic decisions taken in the heat of intense crisis management, have changed the structure of the financial sector and will do so more profoundly going forward. There are several reasons for this, such as the plain collapse and disappearance of financial institutions, the non-viability of certain business models and practices in the new environment, the need for the financial sector to shrink and deleverage after the real risks in this world had been revealed, the intended and unintended consequences of new prudential regulation, the coming effects of structural regulations that at least partly ring-fence insured deposits and payment systems from the “casino”. Then there is the shrinking of cross-border banking through the retreat of banks  1  See http://www.bis.org/speeches/sp081119.htm  BIS central bankers’ speeches  1  behind their national borders and the weakening and, in some cases, collapse of international financial centres in smaller countries. We can see where this is heading: towards a financial sector that is smaller, less leveraged, less complex, more fragmented, more regulated, and more national.
Heightened volatility in global financial markets can be associated with the presence of very low and even negative rates rather than the underlying macroeconomic and external imbalances. In these circumstances, any change in interest rate differential across countries is likely to create greater impacts than otherwise. If this interest rate change takes place in the largest and the most significant economy in the world, then the impact will expectedly be further magnified. The Fed’s start of interest rate normalization has demonstrated that its impact on the global economy and financial markets indeed has been large, giving rise to significant capital outflows from emerging market (EM) economies, large adjustments and volatility in exchange rates as well as widened EM spreads and interest rates. The adverse effects of the Fed’s interest rate normalization has been on average larger than those occurred in previous two financial turmoil episodes, namely the Eurozone sovereign debt crisis and the US tapering tantrum. However, the disparity between the effected countries has been large too. The plummeted commodity prices as well as other factors led to this outcome as commodity exporters suffered from both the lower commodity revenues and the tightening global financial conditions. Financial markets also differentiated EM countries by policy frameworks and prudent policies. Those having rich and better policy frameworks and prudent policies have withstood the recent global financial turmoil better than the others.

Looking ahead, the uncertainty about the potential rise in the NPL ratio is notable since this crisis is on an unprecedented scale and is deeper than that envisaged in the adverse macroeconomic scenarios applied in the stress testing of the financial system in recent 10  years. The timing is also very different since in this episode, if current macroeconomic forecasts are confirmed, the adjustment to GDP would be concentrated in the first year of the shock (2020), to be followed by a recovery whose strength is still uncertain. In addition, the impact will hinge on the size and duration of the measures adopted, which will influence their effectiveness. In any event, the increase in NPLs is expected to be higher among smaller firms operating in sectors involving greater social interaction; and, in the case of households, in exposures not secured by mortgages. Accordingly, banks are already recording earlier part of the provisions that they might have to set aside in the future. Furthermore, my previous remarks about the aggregate situation of the system mask considerable diversity. This is mainly because the starting positions of the various institutions, in terms of own funds and credit quality, are already different. Likewise, some segments of households and non-financial corporations are also still in highly fragile financial situations. For example, smaller firms are more vulnerable to a scenario of falling revenues.
It has to be a national effort. The potential for accelerated development is clearly evident. The government’s plans, programmes and projects, as set out in the Honourable Prime Minister’s Statement and the Budget Speech have sign-posted the way ahead. However, the task now is to continue to turn the good intentions into reality. This journey ahead also  We need to ask why this is. In what is  requires a rebalancing of economics and  often termed the Asian century, Sri  politics in economic decision-making, if  Lanka is the only country, other than  we are to stay on course. Afghanistan, in the Asia/Pacific region with an IMF programme – having an IMF programme is the economic equivalent to being in hospital. We are not in the  The government has commenced a strong revenue-based fiscal consolidation programme. ICU but clearly in hospital. The remedial treatment is known and it is  Central Bank of Sri Lanka – ROAD MAP 2017  6  Trade and investment policies are also   Section 2: Review of the  being changed to harness our untapped  developments in the economy along  potential. with the progress in the real, fiscal,  We at the Central Bank, are changing and upgrading many of our processes and policies. Frameworks are being developed for proactive monetary and exchange rate policymaking on a data driven basis.

In developing a regime tailored to insurance we will also have to consider the particular skills and roles that matter. This includes the central role of actuaries, which is one of the important  4  BIS central bankers’ speeches  functions specifically recognised by Solvency II. In 18th century London, the title “actuary” was often interchangeable with that of Chief Executive. It’s your role in backing entrepreneurship with science; in ensuring premiums, reserves and capital are prudent; and in scanning the horizon for new risks and opportunities, that means we are minded to include both life and general insurance actuaries within the scope of our updated fit and proper regime for individuals in insurance. By including your profession in the new regime, we recognise the importance of your skills, the range of your contributions, and your personal propriety. Later this year we will consult on a regime that includes the most senior actuaries – alongside CEOs, Chairmen and Chief Financial and Risk Officers – in our senior managers regime, making them directly accountable for how a firm is run, for their decisions, and for their actions. These senior persons will be expected to prove their fitness to regulators before they take up a role, and the onus will be on them to ensure risks are understood, measured and properly considered.