samchain/econo-pairs-v1 huggingface dataset:
Many EMEs have been trying to mitigate the appreciation through exchange rate intervention, with partial success. Chile is one of the latest to join this group. Others have sought the use of capital controls or macro-prudential regulations, not only for exchange rate reasons, but also to avoid the buildup of excessive market or liquidity risk associated to the foreign exchange position. In January this year we announced a program of reserves accumulation of 12 billion dollars, about 5 percent of GDP. This measure had a dual purpose. On the one hand, it would relieve some pressures on the exchange rate, facilitating the adjustment of the economy to the current international environment. On the other hand, it would increase Chile’s international liquidity position to levels around 17 percent of GDP. Indeed, evidence shows that having a high level of reserves makes economies more resilient to financial turbulences, even though they are generally not massively used. Reserves act as a deterrent against sharp capital flow reversals.1 In addition, reserves allow central banks to credibly establish foreign currency liquidity facilities. These played an important role in normalizing both domestic currency and foreign currency short term debt markets in many EMEs during the recent global crisis. After an initial sizable depreciation, the peso has strengthened, for some days even reaching levels similar to those prevailing before the intervention announcement. This contrasts sharply with the experience of the previous period of reserve accumulation initiated in April 2008 (Figure 1).

John C Williams: Bridging the skills gap Remarks by Mr John C Williams, President and Chief Executive Officer of the Federal Reserve Bank of New York, at the "Skilling the Gap: Building Local Talent for InDemand Careers", Columbia-Greene Community College, Hudson, New York, 21 October 2022. ***  As prepared for delivery Thank you for that kind introduction. I'm so pleased to be here-especially at this time of year, when the autumn colors light up the region. In fact, my wife and I have fallen in love with this area-so much so, that we are now splitting our time between Columbia County and New York City. Of course, I'm not just here as your neighbor. Part of my job as president of the New York Fed-one of the best parts-is to meet with business and community leaders from across the Federal Reserve's Second District. This gives me the opportunity to see and hear the challenges they face. And throughout the Second District-which includes New York State, Northern New Jersey, Southwestern Connecticut, Puerto Rico, and the U.S. Virgin Islands-the issues I hear about consistently have to do with labor shortages and the skills gap. Employers can't find enough skilled workers-and workers can't obtain the skills they need to move up the economic ladder. Before I go any further, I will give the standard Fed disclaimer that the views I express today are mine alone, and do not necessarily reflect those of the Federal Open Market Committee or others in the Federal Reserve System.
This intertwining of the communication of the European monetary team with the European and national institutions and the full body of the civil societies is currently underestimated. Wim DUISENBERG attends hearings at the European Parliament in Brussels as often as Alan GREENSPAN does on the Hill in Washington. Each national governor explains in his own language (so in total in ten languages), through the lens of twelve different cultures, the same message from the Eurosystem. To improve its transparency and its communication even further, the Eurosystem decided to publish for the first time in December 2000 Staff Economic Projections for the euro area. In terms of transparency and accountability - namely the duty to explain, justify, whenever possible convince, and in any case, being fully responsible vis-à-vis public opinion for decisions taken - I think that the Eurosystem meets the best practices of the main central banks in the world. I.2  Co-ordination of economic policies  A few years ago, it was necessary to convince a great number of skeptical people, in Europe as well as in the rest of the world, that the euro was really to be set up. Many observers pointed to its presumed contradictions and alleged inconsistencies: claiming, for example, that the economic divergences and structural gaps among euro-area countries would be too large to ensure a viable monetary union or that the lack of co-ordination between economic policies would deprive the area of an appropriate policy-mix, and could not be achieved without a political federation.

The diagnosis is the same in the short-term derivatives market, whose integration, standardisation and depth have increased. This is reflected, for instance, in the scale of daily transactions and the huge expansion of the euro interest-rate swap market. These structural changes in the euro area money market have generated significant moves by market participants, who have concentrated within the euro area their euro cash management activity and have benefited from better liquidity on the secondary market. Of course, such integration has to be brought to fruition in the other segments of the money market, i.e. the repo market and the short-term securities market. Further integration will enhance the efficiency of the euro area financial markets and will be beneficial to borrowers and investors alike. –  With regard to the capital markets, progress towards integration has been significant, both on the euro-denominated bond market and the equity market. The gross issuance of long-term debt securities denominated in euro amounted to 791 billion euro in 1999, against the equivalent of 902 billion euro for debt securities denominated in US dollars. The pace of euro-denominated issues remained brisk in the first three quarters of 2000 at 498 billion euros. According to the Bank for International Settlements, euro-area private sector borrowers have issued about three quarters of their debt in euros since 1 January 1999, compared with an average of 50% in the predecessor currencies since during the 1990s.
As a result, the crack of the  10  Hardgrave et al (2006). 11  Cohen (2002). 12  Akerlof (1970). 13  eBay (2012). 14  Grean and Shaw (2002). 15  Lee et al (1997). BIS central bankers’ speeches  5  bull-whip has been nullified along the product supply chain, reducing system-wide instabilities. For Wal-Mart, common standards have revolutionised ex-ante risk management, allowing real-time aggregation and visibility of risks and opportunities along the supply chain.16 For other industries, a common language has also transformed ex-post risk containment. Take the pharmaceuticals industry. Building on existing GS1 standards, individual packets of drugs can now be assigned a unique serial number by the manufacturer, along with information on the batch from which it was produced and other relevant attributes. These data can be shared in a common pool with retailers and distributors. As at Wal-Mart, the packet’s location is logged at every stage of the supply chain from factory to pharmacy. This central supply chain information system has transformed drug risk management in a crisis. In the past, before drug packets had unique identifiers, defective products would have resulted in a mass recall of all packets of a certain drug type. This often caused massive disruption to the manufacturer and generated panic, bordering on hysteria, among consumers. The bullwhip effect was powerful and destabilising. Today, those instabilities have been calmed courtesy of common standards and improved technology.

Jon Nicolaisen: Challenges for the payment system Speech by Mr Jon Nicolaisen, Deputy Governor of Norges Bank (Central Bank of Norway), at the annual conference on payments systems, hosted by Finance Norway, Oslo, 16 November 2017. * * * Please note that the text below may differ slightly from the actual presentation. Introduction The payment system is changing along a number of dimensions. These changes will not only have an impact on the way we make payments, they will most probably also contribute towards promoting and even accelerating the structural changes we have already seen in the financial industry. Today, I will briefly outline some of the most important challenges we are facing. We can perhaps call the sum effect of these challenges a change programme. For this programme to succeed, cooperation is necessary, both within the financial industry itself and between the business community and the authorities. The authorities and the financial industry largely have coinciding interests. We all share the same aim: that Norway will continue to have an efficient, robust and modern payment system. PSD2 and new payment service providers In recent years, the EU has issued a number of regulations which we must adhere to. The revised Payment Services Directive (PSD2) is particularly important. The purpose of PSD2, together with other regulation, is to secure cheap, modern and efficient payment services. PSD2 will enter into force in the EU in two months’ time. A consultation process has been initiated on proposals to implement the directive in Norwegian law.
Even the impact of oil price shock of 2014 on GCC banks have been muted at most, though degree of resilience certainly varies from one country to another. Still, there is broader agreement that our banks entered the low oil price environment from a position of strength which was built through prudent regulatory reforms. Now, as the rule book is mostly in place, it is time for supervision to step up. After all, regulation can only go that far; without effective supervision, it is hard to ensure timely and consistent implementation and achieve financial stability at large. Central Bank of Kuwait - Public ‫ عام‬- ‫بنك الكويت المركزي‬  -3-  The role of effective supervision is also critical because not every risk can be pre-defined in a rulebook. While overseeing the dynamic world of finance, supervisors must be agile enough to suitably correct course in line with the constantly changing nature of the banking industry or the emergence of new risks. In the second part of my speech, I would like to touch upon two such emerging concerns; cyber threats and climate change. Addressing Emerging Concerns Ensuring resilience against Cyber threats First, consider the issue of cyber threats. Growing footprint of technology is influencing every facet of the banking business, transforming banks’ internal processes as well as their engagements with customers. As the role of technology deepens from a mere support function to a platform central to everything that banks do, the likelihood of new risks emanating from ubiquitous and connected technologies loom large.

GFC also led to a fundamental shift in our approach to banking regulation and supervision, essentially by exposing the fault lines in the inadequacy of earlier regulatory architecture. 1 Keynote speech delivered by His Excellency Dr. Mohammad Y. Al-Hashel, Governor, Central Bank of Kuwait in the  14th High Level Meeting for the Middle East & North Africa Region, jointly organized by the Basel Committee on Banking Supervision, the Financial Stability Institute and the Arab Monetary Fund, on December 11, 2019 in Abu Dhabi, UAE. Central Bank of Kuwait - Public ‫ عام‬- ‫بنك الكويت المركزي‬  -2-  By now, those fault lines are well-understood. Banks held too little capital and of poor quality. Inadequacy of capital was further weakened by the absence of a backstop measure to contain excessive leverage. Banks that were too big to fail enjoyed the market power but were not required to internalize the cost of risks they brought to the overall system. Suitable measures of liquidity, in both funding and market sense, were lacking. And the efforts to contain systemic risk, both in its time and structural dimension, were hardly in sight. In a nutshell, the rule book was evidently deficient. And if that was not enough, banking supervision was micro prudential in nature. Supervisors believed that ensuring stability of individual institutions would make the system as a whole stable, thus largely ignoring the buildup of systemic risk. The GFC brought into sharp focus the gaps in our regulatory regime.
The clearest example was the constitution of institutional protection schemes initially, without which it would have been extremely difficult to finally bring about inter-regional mergers. Today some of these problems have already been resolved thanks to these seven laws that have gradually improved the resolution instruments available at the start of the crisis. For instance, with all savings banks having converted de facto into banks, the current situation differs greatly from that at the start of the process, when the regional governments had the  4  BIS central bankers’ speeches  power to veto mergers. And although the perseverance and skill of the Bank’s supervisory arm managed to convince most regional governments of the inevitability of merging with savings banks from other territories, there have been cases in which sounder inter-regional alternatives were turned down for the sake of mergers which, though they were viable in the scenario then foreseen for the Spanish economy and avoided, moreover, more costly interventions for taxpayers, were clearly worse than the mergers suggested by the supervisor. As encouraging examples of Spain’s achievements during these years, I have chosen the progress made in correcting the current-account deficit and in financial restructuring. However, I could have chosen other actions. For instance, the Pension Reform Law has made historically significant changes and, if its sustainability provisions are properly implemented, will enable not only the pensions of our generation, but also of our children’s, to be paid without problem.

As in the past, we shall present our June and December inflation forecasts at our media conferences. In March and September, the inflation forecast will be published within the context of the press release on the quarterly assessment of the situation. Gold sales On 22 September this year, the Swiss people and the cantons rejected both the gold initiative and the counter-proposal. The National Bank, however, continues to implement its programme for the sale of half of its gold reserves. For the time being, the surplus gold reserves will still figure in our balance sheet. To date, approximately 660 tonnes of a total of 1,300 tonnes of gold have been sold. We see no reason to change our strategy: these assets are surplus reserves which are no longer needed for monetary policy and which may be put to another use. In order to use the reserves for other purposes, the gold is sold and the proceeds are invested in securities. We invest the proceeds from the gold sales in Swiss and foreign securities. The portfolio from the surplus reserves is thus less exposed to exchange rate fluctuations than the foreign exchange reserves. The earnings deriving from invested gold proceeds flow into the SNB's income statement and thus become available for profit distribution in favour of the Confederation and the cantons. As from 2003, annual profit distribution will amount to Sfr 2.5 billion. The profit distribution agreement concluded with the Confederation last April need not be revised.
Accordingly, a commitment to rationalise costs must be a management priority for banks. The third and final challenge that will exert even more pressure on banks’ income statements in the coming quarters also arises from the weakness of the economic situation. Apart from the global deceleration, which primarily affects consumption and capital investment, we must not forget that the Spanish economy is in the midst of adjustment in the property sector. This adjustment had already begun, gradually, before the summer of 2007, bringing the sector progressively into line with the change in the determinants of residential investment. This gradual rate of adjustment was altered by the international financial crisis, which established a climate of mistrust and uncertainty which, in turn, intensified the slowdown. The consequence for the banking sector has been a rapid growth in doubtful assets ratios since end-2007. This growth has been recorded across-the-board, but especially in construction and property development. Despite the counterweight provided by the existence of the general provision in Spain and the very low starting levels of the doubtful assets ratio, this has led to the need for greater credit write-downs, which have to be taken to the income statement, and that is the third reason why profits will be under pressure in the banking sector. What must we do in this situation? Having reached this point, allow me some reflections on what we should do to address this situation.

The Basel Committee is thus introducing quantitative liquidity requirements for banks for the first time. Basel III works with two liquidity measures – one short-term and one long-term. The shortterm measure is based on, in principle, every bank having sufficient liquid assets to survive for at least 30 days. It is difficult to see such a requirement as unreasonable. The long-term measure, in principle, limits the gap between the maturity of a bank’s assets and the maturity of its debts. This limits the duration risk of the bank. …and particularly the regulation of systemically-important banks A particular focus has been placed on systemic risks and the most systemically-important institutions. To a great extent, this is a work in progress. So far, the Basel Committee has  1  2  In principle, Basel III defines Common Equity Tier 1 as share capital and previous profits. BIS central bankers’ speeches  identified almost 30 global systemically-important banks (G-SIBs). The list was published last week and includes one of the major Swedish banks, as you may have noticed. The Committee feels that it is particularly important that these banks have extra strong resilience. Those identified as G-SIBs should thus have an additional capital buffer, the size of which depends on how systemically important each bank is deemed to be on a global level. A framework should be put in place for how the authorities in different countries should handle them if they find themselves teetering on the brink.
Zeti Akhtar Aziz: Opening of Bank Negara Malaysia Beijing Representative Office and initiatives to promote bilateral trade and investment Remarks by Dr Zeti Akhtar Aziz, Governor of the Central Bank of Malaysia (Bank Negara Malaysia), at the opening of the BNM Beijing Representative Office, Beijing, 18 November 2013. *  *  *  It is my great pleasure to welcome you to this official opening of Bank Negara Malaysia’s Beijing Representative Office. The opening of this representative office today is an occasion of unprecedented significance for us. This Beijing office is Bank Negara Malaysia’s very first presence in Asia. This is a reflection of the growing importance of China in the global economy and the international financial system and the very significant and longstanding financial and economic ties between Malaysia and China. This momentous occasion also marks the dawn of a new chapter as our bilateral relations transitions and evolves reflecting the significant changes taking place in our respective economies and financial systems. For many decades now, the foundation underpinning the strength and dynamism of our relationship is our ability to continually harness the complementarities that exists between our economies. While bilateral trade has consistently been expanding at double digit growth rates over the recent two decades, the breadth and depth of our relations have also evolved and expanded into greater financial linkages. In parallel to our growing economic ties, our financial institutions have also ventured into each financial systems, further strengthening our financial and economic connectivity.

The Developments in Interest Rates 31 29  ISE Bonds and Bills Market Interest Rates (Benchmark, Compound Yield)  27  CBT O/N Interest Rate (Compound)  25 23 21 19 17 15  27-Jan-06  04-Mar-06  22-Dec-05  11-Oct-05  16-Nov-05  31-Jul-05  05-Sep-05  25-Jun-05  14-Apr-05  20-May-05  01-Feb-05  09-Mar-05  27-Dec-04  16-Oct-04  21-Nov-04  10-Sep-04  30-Jun-04  05-Aug-04  19-Apr-04  25-May-04  14-Mar-04  02-Jan-04  07-Feb-04  13  Source: ISE, CBRT. Analyzing the yield curve that shows interest rates in the ISE with different maturities, the interest rates have been realized at a lower level in each maturity as of 24 April 2006 compared to the end of the previous year. This development stems from the expectations that the downward tendency in inflation will continue in 2006 as well. Nevertheless, the more horizontal course of the longer maturity end of the yield curves compared to the previous periods confirms the cautious attitude of economic agents towards their future risk perceptions in the said period (Graph 20). Graph 20. Yield Curves  30 September 2005 30 December 2005  Interest Rates  24 April 2006  14.45  12.00 1 Month  2 Months  3 Months  4 Months  6 Months  9 Months 12 Months 18 Months  Months to Maturity  Note: Line 14,45 corresponds to the composite interest rate of the overnight interest rate of 13.50. Source: ISE.