samchain/econo-pairs-v1 huggingface dataset:
This is the best form to test the real possibilities, which may later be supported by amendments to prudential regulatory framework. Our common goal is to stop progression of the value of nonperforming loans and improve the situation gradually. Some banks, thanks to their prudent and steady efforts over the past three years in relations with their clients, have managed to significantly reduce the non-performing loans share. They have continued lending to the economy at good levels. Organisation and management of their work is an example for other banks. The current legal and regulatory framework is comprehensive and in line with the best international standards, although it may require ongoing improvement. Our consolidated opinion, however, is that all the stakeholders need to exhaust all the available tools and gradually make further steps in the legal and institutional framework. More specifically, the banking industry and the business community need to work more closely. I believe there is more space for better understanding and more fruitful cooperation. The business community and the banking system should leave their trenches and cooperate in concrete terms to face future challenges. The banking system is ready to increase its support to the economy with loans. This was confirmed to me in a meeting I had with the management of the largest five banks. Personally, I urged the banking system for a more active approach to lending. This is a real challenge and many institutions and groups of interest are involved in it.

The relationship between economic activity and the labour market Each economic cycle is unique, which became particularly clear during the most recent economic downturn. However, there are some patterns that often recur in economic cycles and forecasters have therefore often used them as a base in their forecasting work. For example, it is normal that changes in activity in the labour market occur with some time lag compared with changes in production. This is mainly because it is expensive for companies to adjust production to a new demand situation and to employ and give notice to staff. Firms may therefore initially choose to wait and see whether the change in demand is temporary. This means that the first thing to happen in an economic downturn is that productivity growth falls. Firms gradually adapt to the new situation by reducing the number of hours worked without reducing the number of employees. However, if the downturn is long-lived, the personnel force is also downsized over time. The time lag between GDP and the number of hours worked is usually one quarter in Sweden, while the time lag between GDP and employment is usually twice as long, that is, six months. A well-known relationship between economic activity and activity in the labour market was formulated by Arthur Okun in the early 1960s. 1 This describes a negative relationship between GDP growth and changes in unemployment, which has become known as “Okun’s law”.
14  BNM Financial Sector Development Department (FSD) – Based on number of bancassurance/bancatakaful policies with regular premium/contribution to the number of savings account in Malaysia (August 2013). 15  FSD – Annual submission by insurers to the Bank on Bancassurance data. 16  EY- 2014 EY Asia-Pacific Insurance Outlook. BIS central bankers’ speeches  3  banking penetration of 52.2% and 12.7% respectively 17 augurs well for direct insurance models. In fact, in the general insurance and takaful sector, direct channels already have achieved significant market shares of 10% and 14% respectively 18. For the life insurance and family takaful sector, the LIFE Framework envisions greater adoption of direct channels such as internet platform and walk-ins for pure protection products. Safeguarding consumer interests The global ﬁnancial crisis has shown that rapid financial sector innovation without due regard to business conduct can result in large-scale losses to consumers and cause widespread disruption to ﬁnancial institutions and markets. As a result, there has been a renewed focus on consumer protection and market conduct, with new institutional arrangements for conduct regulation being established in some jurisdictions and strengthened enforcement frameworks in others. Of importance in a conduct regulation framework is an emphasis on financial institutions’ having effective oversight arrangements to ensure that business is conducted in a responsible manner. With the Financial Services Act 2013 and Islamic Financial Services Act 2013, which came into force in June 2013, the Bank has a clear mandate to foster fair, responsible and professional business conduct among all financial service providers.

Donald Joshua Jaganathan: Nailing down the winning strategies in bancassurance Keynote address by Mr Donald Joshua Jaganathan, Assistant Governor of the Central Bank of Malaysia, at the 15th Asia Conference on Bancassurance & Alternative Distribution Channels: “Nailing Down the Winning Strategies in Bancassurance”, Kuala Lumpur, 6 May 2014. *  *  *  It gives me great pleasure to be here at the 15th Asia Conference on Bancassurance & Alternative Distribution Channels. This conference takes place at an exciting time for the insurance industry in Asia. After decades of strong growth and modernisation, Asia has achieved remarkable standards of living, with hundreds of millions lifted out of poverty and a middle-class population of over half a billion. Structural reforms following the Asian financial crisis have enabled the region to remain resilient throughout the global financial crisis of 2008/2009. Post-crisis, the vibrant economies in Asia have continued to be a pillar for global recovery, with this year’s GDP for developing Asia projected by the IMF to grow 6.7% 1. Insurance markets have also grown in tandem with the economy. Over the past decade, total premium in emerging Asia 2 increased by 10% per annum for life business and 13% per annum for non-life business on average 3 and is projected to grow 11% this year and 10% 4 in the next. The insurance industry, however, cannot be complacent and take this story for granted.
In closing, I want to leave you with the powerful words of Mia Mottley, the Prime Minister of Barbados, from her opening remarks at the UN COP26. She said, "If our existence is to mean anything, then we must act in the interest of all our people who are dependent on us." The heart-wrenching story of a grieving grandmother collecting the bodies of her daughter's family of 4 in the Batang Kali tragedy is a stark reminder that climate change is escalating, and its impact is striking closer and closer to home. This tragic reality demands our swift and decisive action to mitigate its devastating impact and ensure no Malaysian gets left behind in the transition towards a low-carbon economy. On that note, I wish all of you fruitful discussion in the sessions ahead and I look forward to tangible outcomes from these discussions. 1 Impact Assessment Report: Coastal Climate Resilience Infrastructure Project  (CCRIP). [Source] 2 The previous roads mentioned were merely dirt roads that became unusable during  heavy rains and cyclones, indicating a lack of advanced construction techniques. The issues primarily arise from improper design, construction techniques, and the use of weak materials that are unable to withstand cyclonic conditions. In the case study, the roads described are specifically engineered using materials capable of withstanding frequent submersion in salty or brackish water. These roads are built at higher elevations with broader and more elevated shoulders, while also incorporating culverts and water gates to effectively manage floodwater.

Of late, it has been trending down, but the average volatility remains high at 10.1% compared to its 5-year average of 8.2%. On a day-to-day basis, the ringgit was also volatile, particularly prior to the USD/MYR fixing time even though it can be quiet throughout the rest of the day. As trade related FX transactions are done throughout the day, it is highly perplexing as to why trading activities and observed volatility have to be concentrated just prior to the fixing time. The only plausible reason for the above phenomena is that it emanates from the fixing orders from non-resident financial institutions 1/5  BIS central bankers' speeches  (NRFI), the transactions of which are driven by NDF market activities. As NDF is settled using fixing rate, NRFI have been using fixing orders to square their offshore NDF positions. As a consequence of such speculative activities, the ringgit fixing rate has significantly diverged from the onshore traded ringgit prices. The ringgit fixing rate was clearly out of sync with real trades and investment activities done throughout the day. The impact of NDF market volatility has been clearly pervasive in the onshore market. Several FX traders in the domestic market were observed to be looking towards the NDF market to provide cues in determining the opening market price for ringgit. And this behaviour continues throughout the day in the pricing of the ringgit. Unfortunately, our media and public were also drawn into taking the lead from these offshore rates as well.
In the Riksbank document Monetary policy in Sweden (2010) and in the introduction to every Monetary Policy Report it says that the Riksbank “in addition to stabilising inflation around the inflation target, also strives to stabilise production and employment around sustainable paths. The Riksbank therefore conducts what is generally referred to as a policy of flexible inflation targeting”. We also usually express this by saying that monetary policy should stabilise inflation around the inflation target and stabilise resource utilisation around a normal level. The question then is which measures of the two target variables, inflation and resource utilisation, we should use. Although the inflation target is expressed in terms of the CPI, I believe that the most appropriate operational measure of inflation is the CPIF. I also believe that the most appropriate measure of resource utilisation is the unemployment gap; that is the gap between the actual rate of unemployment and the sustainable rate of unemployment. Let me explain why I think that the existing framework for monetary policy could be improved with these specifications. The CPIF is the most appropriate operational measure of inflation The Riksbank’s inflation target is expressed in terms of the rate of change in the Consumer Price Index, the CPI. This has advantages as it is measured often and is seldom revised. It also means something to consumers as it corresponds to the price of an average basket of consumer goods. The CPI is also the measure of inflation that is most well-known to the general public.

At the same time, the number of households, whose deposits are guaranteed by the deposit insurance scheme, has increased six fold, to 2.4 million. In parallel with quantitative indicators, the Albanian banking sector has developed, has become more cutting-edge, and has marked significant progress in the range of bank products and payment instruments that it provides. Lastly, and equally important to the development indicators, this sector has proven resilient to shocks and – unlike many other experiences in regional countries – it did not need to use public funds. While highlighting, on the one hand, the progress made insofar, I would like to point out that the banking sector development – and of the financial system in general – has not been a linear one: it has constantly faced challenges of different forms and types. These challenges have required prudence as well as active, intelligent and courageous decision-making. I am confident that our combined experience may and will help us in future decisions. Therefore, I consider this conference as an excellent opportunity to reflect on certain challenges that we may face in the period ahead. First, let me present a brief overview of the economic and financial situation and development perspective for Albania. As we have repeatedly said, the Bank of Albania deems that the Albanian economy is set on a steady path of improvement of its cyclical position.
I also hope to see this type of mutual cooperation continue until the project becomes fully completed. Now, it’s the right moment, I hereby would officially commence the financial institution data submission and transfer under the data management system. 2  BIS Review 43/2003

The drivers of the deceleration back then appeared, to some extent, to be idiosyncratic and short-lived, relating to the effect of emissions standards on the euro area car industry and a normalisation of world trade from its very strong growth rates in 2017.1 Yet it was clear that the loss of growth momentum could become more broad-based and persistent if two risks were to materialise: first, if external demand were to remain weak; and second, if this were to spill over into domestic demand. In the meantime, the first risk has by and large been realised. The weakness in world trade has continued, which has significantly affected the manufacturing sector. Global goods import growth2 in January reached its lowest level since the Great Recession, on the back of rising uncertainty about trade disputes and a slowdown in emerging market economies, especially China. As a result, growth in extra-euro area goods exports was negative at the end of last year for the first time since January 2016, and industrial production fell by 4.2% year on year in December – its largest decline since 2013 – before recovering somewhat in January. Indicators such as new export orders, which have historically been closely associated with industrial production3, remain in negative territory. So we are now seeing a more persistent deterioration of external demand. But a “soft patch” does not necessarily foreshadow a serious slump.
But the potential sophistication of today’s attackers, and the financial, reputational and legal risks they pose to central banks are far greater than a century ago. 8  The Bank of England Archives hold a number of letters between Cunliffe, Cokayne and Strong on this subject. 6  All speeches are available online at www.bankofengland.co.uk/speeches  6  As Simon Potter has already said, that is why it is so important that, just as central banks co-operate to provide the services they need to another, they must also co-operate in raising the standards and controls applied to those services to the highest possible levels – because we are only as strong as our weakest link. Raising standards means:   Within our own organisations – having robust risk-based processes for assessing counterparties and transactions, in compliance with relevant law and guidance; for controlling the access, people and system risks in central banking processes; and for monitoring and responding to potential risks if and when they crystallise.   And, externally, it means sharing intelligence and promoting best practice; and complying and attesting promptly, and with candour, to relevant international standards. Making progress in both of these areas is vital if the expansion in access to central banks services of recent years is to be maintained. I want to end on a positive note. The international system is constantly evolving. Policy regimes come and go. And the importance of specific reserve currencies may rise and fall: the minnows of today can be the giants of tomorrow.

20  Woodford M. “For not only do expectations about policy matter, but (…) very little else matters.” – Interest and Prices: Foundations of a Theory of Monetary Policy, Princeton University Press, 2003. BIS Review 42/2006  3  been followed recently by the Norgesbank 21 . At first (since 2003) the Norwegian MPC published its monetary policy intentions only for the next four months in the form of an interest rate forecast interval. Last November it went further and started publishing a forecast for interest rates three years ahead in the form of a central forecast (with two alternative scenarios) along with a fanchart). These bold steps made New Zealanders and Norwegians push the frontier of central banking ahead and set a new benchmark for inflation targeters 22 . Are we ready to follow? In 2000 Mahadeva and Sterne measured central banks transparency 23 . Back then the Polish central bank was below the average among inflation targeters. However since then the NBP has made considerable progress. Major changes to communication have been introduced such as publication of inflation forecasts, modification of inflation reports and decision statements in order to make them more forward-looking. Łyziak et al. have applied the Mahadeva-Sterne and Eijffinger–Geraats indices to assess current transparency of the NBP and showed that it has markedly improved 24 . Nevertheless, we are not resting complacently. There are still ways to go and things to learn.
What all these lead us to is that a currency cannot be a true global currency on the basis of current account convertibility alone. It needs to be convertible also on the capital account. However, a significant opening of the capital account is the deep water in China’s quest to globalise the RMB. It is like the RMB sailing out of the calm waters of the harbour into the choppy waters of the wide open seas. Having the support of the five fundamental factors I have discussed will ensure that the RMB is better prepared to navigate those choppy waters. To ensure sustainable RMB internationalisation would require patience, persistence and careful thought – both on the part of Chinese policymakers as well as those outside China. How an internationalised RMB could change the global landscape Let me now move on to briefly delve on the implications of a global RMB on the global monetary landscape. In today’s global monetary system, nobody can deny that there is a lack of choice when it comes to global currencies. This situation is rather precarious. We saw during the Financial Crisis in the Advanced Economies how financial markets globally seized up and the global  BIS central bankers’ speeches  3  monetary system came to the brink of collapse. A more multipolar monetary system should engender greater global financial stability. If global liquidity was represented by more currencies, then the likelihood of any one currency being a determinant of global liquidity would be significantly reduced.

Sukhdave Singh: Global RMB – challenges and implications Keynote speech by Dr Sukhdave Singh, Deputy Governor of the Central Bank of Malaysia (Bank Negara Malaysia), at the HSBC Forum: China Globalising: RMB Rising (Malaysia) – “Global RMB: Challenges and Implications”, Kuala Lumpur, 12 August 2014. *  *  *  It is an honour and pleasure to be here with you this morning to talk about what is likely to be the most important development affecting the global monetary system since the introduction of euro. Should the RMB become a global currency, it will transform the global financial landscape. In fact, the RMB could potentially define this century, in the same manner that the US dollar dominated the previous century. In my remarks today, I would like to share some thoughts on the potential for the RMB to achieve the status of a global currency. Where it to do so, what will the potential impact be on the global monetary system? Finally, I will touch on the implications for Malaysia. The world is ready, is China ready? From where we stand today, the world is clearly ready for a global RMB. The question is whether China itself is ready. There is no question that the RMB would become an international currency. The only question is how big of an international currency. Will the RMB’s role in the international trade and finance reflect the status of China as the second largest, and soon to be the largest, economy in the world?
In the first part of the text, the general framework of monetary policy will be presented, and in the second part exchange rate policy and liquidity management issues will be considered. Inflation targets Inflation targets will continue to be defined as the end-year rate of inflation calculated by the annual percentage change of the Consumer Price Index (CPI) in the upcoming period. In the press release regarding the monetary and exchange rate policy for 2006, the target horizon was set as three years and this time frame will be preserved for 2007. Taking into account the structural transformation of the economy, the transition from chronic high inflation to low inflation, and the process of convergence to the developed countries, a target of around 4 percent is considered appropriate for the medium-term. Therefore, inflation targets for 2007 and 2008, which were previously announced as 4 percent, are maintained and the inflation target for 2009, which was scheduled to be announced at the end of this year, has also been determined as 4 percent. As the structural transformation and convergence process is completed in time, it will be possible to target lower inflation rates. BIS Review 1/2007  1  Uncertainty band In Article 42 of the CBRT Law it is stipulated that “The Bank shall submit information to the Government in writing and inform the public disclosing the reasons for the incapability to achieve the determined targets in due time published or the occurrence of the possibility of not achieving and the measures to be taken thereof”.

In this framework, the expected short-term interest rate path is calculated via the yield curve, expectations survey and other sources and inflation forecasts are published under the assumption that this path will materialize. (iii)  Countries in which central banks assume that interest rate will remain fixed over the forecast horizon: England, Brazil, Peru, and Australia. 2  In recent years, both academic literature and current central banking implementations increasingly support the approach adopted by the first group, including Turkey for sharing the own expectations of the central banks about future monetary policy with the public corresponds to the transparency and  1  In the survey, the farthest period of time given for inflation expectations is 2 years. 2  Some central banks follow more than one method while producing forecasts about interest rates. For instance, Bank of England is in both the second group (expectations for market interest rates) and third group (fixed interest rate). BIS Review 1/2007  3  predictability principles of inflation targeting. In this context, it is observed that more countries from second and third groups join the first group each year. Monetary policy and interest rate risk As mentioned above, the Central Bank shares its forecasts about monetary policy verbally with the public. When evaluating the inflation and monetary policy outlook, a particular question to be answered is raised: How should the policy perspective that will keep inflation close to the target in the medium-term (in a period of one and a half years to two years) be?