samchain/econo-pairs-v1 huggingface dataset:
I am not saying that inflation is not a concern for Asia. But I believe it is more important to address the harm that might be caused by asset-price bubbles. Although I agree it is difficult to predict the occurrence of an asset-price bubble, I am certain that once a bubble is created, it will grow with immense power and suppressing it will be difficult. The bigger the bubble, the greater the devastation it will cause when it bursts. The best way to avoid the damage and heavy cost is to prevent the occurrence of a bubble or to contain it before it’s too late. To do this, we have to make decisions at the early stage of a bubble’s formation, not later. More importantly, when a bubble is taking shape, we have to take appropriate and effective steps to stop it getting too big. Prudent risk management 7. The current extremely loose monetary policies around the world and the large inflows of funds provide an ideal environment and provided nourishment for the formation of asset-price bubbles in Asia. So the risk of asset-price bubbles is not small. But Hong Kong cannot raise interest rates as it wishes, and even if we could, this would attract more hot money with undesirable consequences. So Hong Kong, like many other small and open economies, has to resort to other means to prevent the bubble from growing too large. 8. So what methods and tools should we use?

In recent years, capacity utilisation has declined from a high level and is now on a par with the level prevailing in the years 1995-1997, before the rise in costs accelerated. Consumer price inflation in 2003 and the background for the deviation from the target In the years 1998-2002, the Norwegian economy was characterised by substantial labour shortages and a considerably higher rise in labour costs than among trading partners. Last year was the fifth consecutive year of very high annual growth. Wage growth was substantially higher than the level that over time is consistent with the inflation target and with normal productivity growth. Pay increases varied widely across the different groups. In Norges Bank’s view, there was therefore a substantial risk of new wage-wage spirals. Further rounds of such strong wage increases might have led to a decline in output and employment. Monetary policy was therefore tightened through an interest rate increase last summer while the krone remained strong. At the one-year horizon, the strong krone would push down inflation to below 2½ per cent, but subsequently the effects of strong wage growth would dominate. Last year, Norges Bank’s Executive Board struck a balance between the consideration of stable inflation developments in the short term and the consideration of stabilising developments in output and employment. Inflation was thus expected and intended to be low in 2003. In the October 2002 Inflation Report, inflation was projected to fall to 1¾ per cent in summer 2003.
For example, it is the most active corporate issuer in Hong Kong dollar debt market in 2020, issuing $ billion corporate debts under a multi-currency medium-term note programme. 18. In terms of securitisation, the HKMC has issued a total of $ billion mortgage-backed securities since 1999, and has helped develop the local secondary mortgage market through purchasing mortgage loans from banks, and packaging the loans into mortgage-backed securities for investors with standardisation of product structure and documentation. 19. The HKMC also launched an Infrastructure Financing and Securitisation business in 2019. It is now in the process of warehousing global infrastructure loans from banks with a view to packaging and securitising them at an appropriate time in future. The initiative is welcomed by market players such as multilateral development institutions, commercial banks and insurance agencies. It is demonstrated by the fact that the HKMC has successively signed cooperation framework agreements with International Finance Corporation, Sinosure and MUFG. We expect that more will be forthcoming. 20. Within a short 2 years timeframe, the HKMC has managed to make great progress in acquiring and warehousing many infrastructure loan assets, across various sectors and geographies. The business momentum is strong, leading to further opportunities for the Corporation to continue accumulating a well-diversified portfolio and the necessary track record in managing this asset class, which are two essential requirements for future securitisation. 21. With respect to securitisation of infrastructure loan assets, it is not without its challenges.

So apart from the initiatives I touched upon, we also welcome your inputs on what more should be done to better capture the opportunities in the structured credit space riding on the conducive macro trends I mentioned earlier. 25. Once again, I thank IMN for having me here today. I wish you all a very successful Summit. 1 1Simmons Simmons, “Synthetic securitisation: opening the Basel toolbox in Asia-Pacific”, 13 August 2020 3/4  BIS central bankers' speeches  4/4  BIS central bankers' speeches
Yet an increase in the efficiency of payment systems increases the velocity of money circulation exogenously. From a monetary policy point of view it becomes important to estimate the quantitative and qualitative impact of this exogenous change. An increase in the efficiency of payment systems results in an increase in the use of accounts relative to the use of banknotes and coins. Less time is required for each peace of money or securities to lie unused in an account between two successive payments, leading to a shorter time period between inflow and outflow, i.e. to a higher velocity of money in  BIS central bankers’ speeches  1  circulation. The new situation is reflected in a higher turnover in markets, provided that economic agents are able to use the electronic forms of payment, are able to monitor their cash flow and are confident that the increased efficiency does not compromise security in terms of fraud. The task of the central bank is to facilitate a more efficient management of liquid funds. An efficient management of liquid resources enables economic agents to use cashless payment systems not only as a signal for their willingness to pay, but also to pay for the exact amount they owe. Cash payments, in contrast, make economic agents incur costs in the form of interest foregone and increased security risks However, the increase in the velocity of money circulation is not linear.

These arguments that were compelling at the dawn of central banking are most likely to ensure that modern payment systems continue to have a determined impact upon monetary policy and a positive influence upon the stability of the financial system as whole. Thank you for your attention. BIS central bankers’ speeches  3
As the Chilean economy is not immune to external shocks, the ability to cushion them through FX and countercyclical policy response has improved significantly. High-level Policy Seminar on Integration or Fragmentation? International Capital Flows in the Post-crisis World, September 2019 CENTRAL BANK OF CHILE  Monetary policy framework and its effectiveness the ERPT is one of the lowest in LATAM, the corporate sector shows a contended currency mismatch, and inflation expectations have remained anchored throughout the IT period, Currency mismatch over 10% in the corporate sector (*)  Exchange-rate pass-through compared (percentage)  Actual and expected inflation indicators (percentage)  (percent of total assets)  0.7  ERPT-Headline  0.6  Imported Comp. ERPT-Core  0.5  10  40  8 30  6  0.4 4 0.3  20 2  0.2 0.1  Inflation (headline) Inflation (core) Inflation expectations (11-month ahead) Inflation expectations (23-month ahead)  -2 Colombia Mexico Uruguay Peru Chile Adv. Ec. LATAM-5 Eme. Asia Brazil Bolivia LATAM Argentina Paraguay Costa Rica Eme. Europe Panama  0.0  0  10  -4  0  01  04  07  10  13  16 18.I  01  03  05  07  09  11  13  15  17  (*) Based on a sample of firms that report their balance sheet in pesos. Currency mismatch is the difference between foreign currency liabilities and foreign currency assets, less the net position in derivatives (the difference between buy and sell positions in derivatives contracts).

This issue is important because measures of the “original sin” come from Panizza’s work, who will be part of the panel (Eichengreen et al., 2002; Hausmann and Panizza, 2003).  Based on the previous point, it is worth clarifying what kind of CBM are in place in Chile. In addition, does the fact that in Chile almost all-international bond issuing is in foreign currency represents a constraint/vulnerability for the local financial system? Page 1 of 12  Central Bank of Chile September 2019  -  Financial literacy and educational programs to support better decisions at the household level. 2. Background In Chile, the current approach to deal with potential vulnerabilities associated to volatile capital flows can be seen as orthodox, as we rely heavily on the importance of a flexible exchange rate regime and capital account openness, in conjunction with a consistent monetary and fiscal policy framework, and a sound banking regulation and supervision. However, it is important to remind to the public that we have come a long way. In fact, nearly 40 years ago, Chile faced one of the world’s costlier financial crises precisely because the lack of several of these elements. In particular, FX exposures at a heavily leveraged and unsupervised banking sector contributed to the spread of the banking crisis after the fixed exchange rate regime collapsed in the early 1980s. As a result of this experience, banking regulation and supervision was substantially upgraded.
I should highlight that these instruments are only available and tradable between the onshore banks and will not replace Bank Negara Monetary Notes (BNMNs). BNM interbank bills will be recognised as a high-quality liquid asset (HQLA) under Basel III Liquidity Coverage Ratio. Before I conclude my remarks, let me raise two more points that involve all of you here. First, an issue on competition for deposits. Towards every end of the year, banks rush and compete for deposits in an effort to show a good loan-to-deposit (LDR) ratio. This is disruptive behaviour. In particular, corporates, through their short-term deposit shifting, pushes up rates and create significant distortions. This is damaging to all. Borrowing costs will rise. All will be impacted. Corporates will also suffer in the end, through higher longer term borrowing costs because of these unnecessary biddings. From another perspective, time and again, we have explained that banks should not be fixated on the LDR ratio. It is a simplistic indicator. It cannot provide an accurate representation of evolving bank balance sheets and funding strategies. We need to rely on other important indicators. As we start to transition into Net Stable Funding 6/7  BIS central bankers' speeches  Ratio (NSFR), this ratio together with Liquidity Coverage Ratio (LCR), are the more reflective indicators of banks’ funding profile and liquidity positions. Banks will be given sufficient time to adjust before implementation of the NSFR.

Ethical choices in an open economy], Høyskoleforlaget, and Fritz Hodne and Ola Honningdal Grytten (2002): “Norsk økonomi i det 20. århundret” [The Norwegian economy in the 20th century], Fagbokforlaget. 14  BIS Review 154/2010  bank. The central bank did not provide long-term loans on a large scale. 46 This distinguishes the management of the financial crisis in Norway from a number of other countries in that we are of the view that it is appropriate for such medium-term financing – as in the case of solvency support – to be provided by the government and not Norges Bank, if the situation has reached a point where this is necessary. 47 The measure is given a broad democratic grounding through government and Storting deliberations. This approach also serves to counter the kind of criticism that was levelled at Norges Bank when it provided funding for banks in the mid-1980s. Financial imbalances ordinarily build up over a long period before they trigger a crisis. Internationally, measures intended to prevent systemic risks in the financial sector are usually referred to as macroprudential policy. The government authorities should primarily use structural measures to dampen selfintensifying forces behind credit growth and rising property prices. The most important measure will be to increase banks’ capital requirements. The international minimum standard for banking regulation will be strengthened under the forthcoming Basel III framework. However, we note that some countries do not wish to subject their banks to stringent standards.
We opted for this in order to make discussions as fruitful and lively as possible, as well as to motivate and engage our staff. That does not alter the fact that the final decision is up to the Executive Board. In the past two years or so we have not refrained for altering either the main scenarios or the risk spectrums that the staff has  BIS Review 24/2001  5  produced. Neither have we always shared the policy group’s majority view of the appropriate interest rate. But the Board has had well thought-out and consistent assessments on which to base its decisions. Communication and transparency The issue of central banks’ communication and transparency is sometimes discussed as though it were unconnected with the actual formation of policy — as though it were just a matter of selling a given message. I see this differently. The extent to which a central bank is understood and the credibility of its policy do, of course, depend on its track record in goal fulfilment and how long it has been operating. But the clarity of its policy framework also plays a part, as do the procedures for arriving at decisions. That the Riksbank managed to establish reasonable respect for its task and confidence in its policy so quickly was no doubt largely a consequence of the Swedish economy’s good performance in recent years.

In the area of product development for example, collaboration within the banking group can be explored to offer a more comprehensive range of products and gain greater scale such as the offering of microfinancing and microtakaful as a composite product. Moving forward, collaboration beyond traditional sectors; and into competitive industries, such as retail, communication and oil and gas should be advanced as it opens up and extends our outreach to form new alliances. Joining forces with other industries will allow us to embark on a faster learning curve, while equipping ourselves with new skill sets. This will enable the intended business objectives and outcomes to be met within a short period of time. A recent example of such collaboration between a few domestic Islamic banks is the establishment of the Investment Account Platform. The test of the collaboration however, lies in its strength and sustainability in pursuing the intended outcomes. At the regional level, there is also potential for industry players to collaborate through the Islamic Infrastructure Investment Platform or (I3P) that is now still at the proposal stage. Through this regional dialogue platform, collaboration may be fostered between financial institutions, regulators and ministries from APEC economies with multilateral institutions and academic experts to explore measures that can expand cross-border investments by Islamic financial institutions. In particular, the potential for Islamic pension funds and takaful to finance infrastructure projects in APEC economies can be explored. In realising the virtues of Islamic finance, it also warrants Islamic banks to progressively strengthen its intermediary functions.
Investment-linked insurance products now account for more than 38 per cent of the domestic insurance market, almost equal to the share of more traditional whole-life and term insurance products that had historically dominated the market for many years. Second, Asia is rapidly ageing Improvements in living standards and life expectancy, combined with falling fertility rates, contribute to a rapidly ageing population globally, including in Asia Pacific. Studies have  BIS central bankers’ speeches  1  projected that the population of seniors, ages 65 and older, will grow the fastest in Africa (296 per cent) between 2010 and 2050, followed by Asia and the Oceania countries (216 per cent), while the population of young children below the age of 15 is projected to fall by 12 per cent in Asia and Oceania. The share of the global population of people aged 65 and older living in Asia should correspondingly rise from 54 per cent in 2010 to 61 per cent in 2050 with the median age increasing from 29 to 40 over the same period. A United Nations study estimates that by 2050, the older population in the region will triple in number to more than 1.26 billion. This demographic transition has far-reaching social and economic implications as it exerts a significant strain on the social security systems, infrastructure and provision of health care services of economies.

The Banque de France played a central role in setting this agenda, notably through the creation of the Network for Greening the Financial System (NGFS) and its global secretariat. 3. The ECB also intends to step up its communication. As I often stress, communication is 1/5  BIS central bankers' speeches  fundamental for economic efficacy and for the transmission of monetary policy to all economic agents. Better-informed households and firms will also make better economic decisions. Our inflation targeting policy will be much more effective if economic agents understand it, adhere to it and believe in it, thus helping to better anchor inflation expectations. To this aim, a first step is our new Monetary Policy Statement, which is shorter and provides a clearer narrative of why we took our monetary policy decisions. Since effective speaking also means active listening, the Banque de France organised 17 listening events this year, both at national and regional levels, reaching out more than 300 000 French citizens. We discussed our mandate, the principles of monetary policy, and the effect of monetary policy on their daily lives. I have decided to make this an annual event. II. The current and future courses of inflation Let me now turn to the economic outlook. The robust euro area recovery has been helped by a successful combination of accommodative monetary and fiscal policies, both at national and EU levels.
In addition, we still believe in an appreciation of the krona during the forecast period due to fundamentals, which have subduing effect on imported inflation. It is therefore estimated that payroll expense could increase by an average of just over 4 per cent a year during the forecast period without any threat to the inflation target. However, 4 per cent is too high in the slightly longer term. There is a great risk that this figure will become established as a norm, as payroll expenses have increased by approximately 4 per cent a year over the past five years. If Sweden were to participate in Stage Three of EMU, we cannot have a rate of wage increase that deviates from the average in the euro countries. If the "norm" for payroll expense increases is 3.5 per cent, this means that nominal wage agreements must be signed at lower levels. This is because the scope must also cover wage drift and other wage costs, such as collective fees and reductions in working hours. Conclusion  In the October Inflation Report we foresaw a slightly more prolonged economic recovery than had earlier been expected. The weak development in the financial markets in the wake of bankruptcies and accounting scandals had contributed to the start of a decline in confidence from companies and households. In Sweden demand had been upheld relatively well, but it was estimated that fiscal policy needed to be tightened up to manage the expenditure ceiling. This means that growth may be more subdued in future.

2  BIS central bankers’ speeches  •  Fourth, the range of instruments that allow long-term investment is limited: in many countries, bond, equity and securitisation markets that provide alternative avenues for long-term finance are underdeveloped. If finance is to play its role as an enabler of economic growth, it will be important to develop new avenues for long-term funding. Singapore’s value proposition as a financial centre MAS has been closely studying these trends in global finance and finetuning its strategies to develop Singapore as a premier financial centre. The emerging financial landscape plays to Singapore’s strengths. Singapore’s value proposition in this new landscape rests on four pillars: •  smart regulation;  •  diverse ecosystem;  •  pan-Asian focus; and  •  deep talent pool. I will take stock of Singapore’s strengths in each of these four areas and outline how we have refreshed our strategies and approaches. Smart regulation First, smart regulation. Since the global financial crisis, a higher premium has been placed on well-regulated financial centres like Singapore, which set high standards but implement them in a way that makes business sense. MAS has always required banks to meet high prudential standards, exceeding international norms in several areas. During the global financial crisis, this ensured that adequate safeguards were in place and confidence sustained. Post-crisis, our banks are well-placed to meet the new global capital and liquidity standards. Maintaining high standards is compatible with fostering a vibrant financial centre.