samchain/econo-pairs-v1 huggingface dataset:
In order to cope with this new situation, we have slightly modified our existing framework of inflation targeting by explicitly highlighting the increasing role of financial stability in our objective function. Accordingly, first we have announced the details of our exit strategy from crisis measures in April 2010. As a first step, we have normalized the liquidity support facilities and brought back the TRY reserve requirement ratios to pre-crisis levels of 6 percent. Second, we started to highlight the macro financial risks and contingent policy responses. For example, we have stated through our policy documents that, if divergence in growth rates between domestic and external demand continues in the forthcoming period, and if this pattern of growth coexists with rapid credit expansion and deterioration in the current account balance, it would be necessary to utilize other policy instruments such as reserve requirement ratios and liquidity management facilities more effectively. The primary objective of the CBT is to achieve and maintain price stability. However, the recent crisis has taught us that this single objective may not be enough for attaining macroeconomic and financial stability. In this respect, we reminded the public that financial stability is one of the fundamental duties of the CBT as stipulated in our Law, and we approach financial stability from a macroeconomic perspective. From an emerging market point of view, the concept of “macroprudential” measures may not be the same as it is perceived in advanced economies.

Durmuş Yilmaz: In search of an appropriate policy mix for emerging economies – monetary policy in Turkey in the aftermath of the global financial crisis Speech by Mr Durmuş Yilmaz, Governor of the Central Bank of the Republic of Turkey, at the Euromoney Central and Eastern European Forum, Vienna, 18 January 2010. *  *  *  Dear Guests, During the global financial crisis, almost all countries focused on containing potential adverse effects of the crisis on domestic economy; Turkey was not an exception. Following the intensification of the crisis, the Central Bank of Turkey (CBT) delivered sizeable and frontloaded cuts in policy rates, reaching 1025 basis points from November 2008 to November 2009. During this period the CBT not only cut policy rates rapidly, but also pursued a counter-cyclical liquidity policy to support the functioning of money and credit markets, thereby strengthen the impact of the rate reductions on economic activity. These efforts were successful in bringing back Turkey on a strong recovery track. The healthy household balance sheets and solid banking system allowed a rapid rebound in domestic demand. Starting from mid-2009, the Turkish economy has been facing a domestic demand driven rapid recovery. Meanwhile, strengthening capital inflows has further exacerbated the divergence between the domestic and external demand, creating new policy challenges. Rapidly widening current account deficit coupled with short term capital inflows and exchange rate appreciation called for a different approach to monetary policy.
However, the origin of the crisis is not this loss of confidence, but rather can be traced back to years of financial excesses that will take time to resolve. 6 The big and, in the light of what we know today, unreasonable private overborrowing in many developed countries will have to be corrected, leading to significant de-leveraging mostly of households. They will raise their saving rates which will hold back growth in consumption and demand. The countries that grew fast based on credit booms will have to adjust. We cannot expect the world economy to go back to pre-crisis growth rates. These are normal stages of the business cycle, but the magnitude of the imbalances that formed in those countries now experiencing financial crises indicate that their recovery will be slower. This is why when the downturn of the economic cycle combines with a financial crisis, its costs are magnified. This can be understood and even quantified by using consumption theories, but that we will save for a future opportunity. Thank you very much. References Blanchard, O. (2009), “(Nearly) Nothing to Fear but Fear Itself,” The Economist, January 29th. Bloom, N. (2009), “The Impact of Uncertainty Shocks,” Econometrica, Vol. 77, No. 3, pp. 623-685. Cooper, R. (1999), Coordination Games: Complementarities and Macroeconomics, Cambridge University Press. Cooper, R. and A. John (1988), “Coordinating Coordination Failures in Keynesian Models,” Quarterly Journal of Economics, Vol. 103, No. 3, pp. 441-463. De Gregorio, J. (2007), Macroeconomía. Teoría y Políticas, Prentice Hall-Pearson Educación.

What objectives should a central bank have? The most fundamental question to ask when one is on the point of reforming the monetary policy framework is, of course, what the objective of monetary policy should be. On a very general level the objective of monetary policy can be said to be to create an environment where the economy can develop in the best possible manner. However, this definition is too general to be of any great practical use, although it excludes some tasks that are sometimes imposed on central banks. To obtain a more operational definition, it is necessary to take the discussion one step further and ask the question of how monetary policy can contribute to favourable economic development. On a fundamental plane, one could say that the central bank’s main task should be to ensure that the payment system in the economy functions efficiently. This means in simple terms that payments and financial transactions can be made easily and smoothly and entail as little risk as possible. Many scholars also regard this as the main reason why central banks were originally founded 1 . An economy’s payment system can be regarded as a sort of infrastructure in roughly the same way as the country’s communications network or energy supply system. It also essentially fulfils the same purpose, i.e. to ensure that the flows essential to the economy – in this case the flow of money – functions properly.
It is obvious that many households are heavily burdened when mortgage rates rise and this is not something the Riksbank takes lightly. At the same time, it is important to broaden the perspective. Interest rate increases did indeed reduce households' spending money in 2022, but so did the large price increases on electricity, food, other goods and services. Of course, the conditions vary for different households, but looking at an average household, inflation eroded purchasing power more than interest costs did. Higher interest rates are costly for households. But it would cost even more if inflation stays at a high level. Partly because of the high inflation itself, and partly because it would then probably require even larger interest rate increases to bring inflation down again. Broadly favourable real economic development in 2022 But doesn't a higher interest rate mean that the Riksbank is "breaking the economy", as it is sometimes claimed? Our assessment in February was that economic activity is  7/10  BIS - Central bankers' speeches  certainly slowing down and that there will be a cooler development in the labour market until the economy has cooled down and inflation has fallen. But once we get through that, the economic situation will improve and activity will gradually increase again. Statistics published after our decision show that GDP at the end of last year was slightly higher than we estimated – the Swedish economy was relatively strong in 2022, as in the previous year.

Financing For Sustainable Development Report 2019) 3 Air pollution was a cause of almost 5 million deaths worldwide in 2017 while 62 million people were affected by  natural hazards in 2018, with 2 million needing to move elsewhere due to climate events (Source: NGFS (2019). A call for action: Climate Change as a source of financial risk). 4 Imam Al-Ghazali, Al-Mustasfa fi `ilm al-Usul, page 174. 5 Islamic banking assets has grown to 31.4% (RM916.7 billion) of total banking assets (as at end 2018,  compared to only 14.1% in 2008) 6 A blockchain is a digital ledger that holds any kind of information (e.g. transactions, contracts, assets or  identities) that can be stored in a digital format. Entries in the digital ledger are permanent, transparent and searchable. 7 Reference: The Edge Malaysia Weekly (4 – 10 June 2018). Personal Wealth. These challenges include lack of  data (value of the endowment), limited transparency, lack of clarity in accountability, lack of proper auditing and poor planning for waqf assets development  3/3  BIS central bankers' speeches
I am aware that the quest to hold this workshop was driven by the deep conviction that a well developed and regulated payment system plays an important role in enhancing and promoting soundness in the financial system and is a catalyst for creating efficient transmission of monetary value in the economy. A well functioning and developed payment system is an essential requirement for the development of a market economy and deep financial markets. Equally important is its role in the enhancement of the conduct and transmission of monetary policy. Conversely, inefficient payment system operations can be a channel for causing distortions in the economy through inordinate delays in the monetary policy implementation and in settlement of financial transactions. This will invariably prevent the central bank from achieving its objectives of price stability and a sound financial sector. The MEFMI region still faces a lot of challenges with respect to the development and oversight of payment systems. Notable among these are: 1. Regulation of non-bank payment system providers such as mobile phone companies;  2. Regulation of innovative payment system products;  3. Ensuring the law contributes to payment system developments and operations;  4. Ensuring full utilisation of large value payment system by all stakeholders including the Government;  5. Enhancing and retaining skills in oversight of payment systems;  6. Ensuring effective cooperation between different regulatory authorities in the regulation of payment systems;  BIS Review 95/2010  1  7.

Let me just say that I remain convinced that the currency board has remained a fundamental source of stability for Hong Kong in the 239 months of its existence since it came into being in October 1983. What else can be done to ensure monetary and financial stability not just in Hong Kong, but also in this rather fragmented and diverse region, in terms of geography, size of markets, culture and stages of economic development? To my mind, much greater regional co-operation in the monetary and financial arenas should be on the policy agenda. Such co-operation can take many forms, ranging from increasing and more open interactions between central banks in the Asian region for the purpose of enhancing the stability, integrity, diversity and efficiency of financial intermediation in the region, and admittedly very much further down the road, to serious discussions of whether monetary integration and the establishment of an Asian Monetary Union should be a goal. BIS Review 42/2003  1  But to do that, we need to build stronger personal links between economists working on monetary and financial issues at universities, in central banks and in international institutions such as the IMF and the BIS. By debating and discussing and, yes, disagreeing, we can over time generate much more clarity about what path we need to follow in enhancing monetary and financial stability in Asia and elsewhere. Some may wonder why I include academic economists in that list. I do so for three important reasons.
21 Banks earn a return from providing liquidity services, and so make a trade-off in deciding how much liquidity risk to run. But, because of the spillover effects from bank failures, the overall social cost of banks’ liquidity risks crystallising can be considerably greater than the costs for the individual banks themselves. Regulation by the micro-prudential authorities has been the primary tool for dealing with that issue. There is currently a very important, and long overdue, international debate about how to improve the regulation of liquidity. I want to dwell today on just one important element of this debate. This concerns whether or not the assets counted by prudential regulators as part of a bank’s liquidity buffer should be defined to include all of the assets held by the bank that are eligible in the operations/facilities of the central banks to which the bank has access. Some argue that they should. The Bank of England would regard that as a big mistake. For the reasons I have described, the collateral eligible at most central banks goes way beyond securities that can be relied upon in stressed conditions to be liquid in private markets (whether outright or repo). So if they all counted as core-liquidity for regulatory purposes, banks would in effect be liberated from having to hold a buffer of low-yielding assets that they could confidently use in the market before they turned to us.

Since 2007, the level of Spanish GDP has fallen by seven percentage points; that said, perhaps the most representative measure of the severity of the crisis has been the labour market, with unemployment falling by 19% and a major increase in the unemployment rate, which affected 26% of the labour force at the close of 2013. The crisis has moreover entailed a substantial readjustment in the composition of GDP, with a strong decline in national demand, broadly across all its different components, but a fall of even greater depth in investment in construction. Late last year, the cumulative decline in investment in construction was 50% compared with its level in the pre-crisis years. Adding to the collapse in residential investment from 2010, following the onset of the public spending adjustment plans, was the decline in non-residential construction, where civil engineering is to be found. Naturally, the external environment has played a major role in the origins and unfolding of our crisis. The contraction in world trade during the 2009 recession strongly affected our exports. However, as from 2011, net external demand has been markedly buoyant, mitigating the contractionary effect of the fall in domestic demand on activity, and it has provided for the correction of some of the macroeconomic imbalances I shall refer to. Further, the climate of uncertainty which took hold on international financial markets and the subsequent fall-off in financing flows had a more marked impact on those economies, such as Spain, which are more reliant on external saving.
But if successfully executed, these objectives are mutually reinforcing and will lay the foundation for a more sustainable and vibrant First World economy. Moderation in growth Why is China growing more slowly? As China reaches a more mature stage of development, it is simply unrealistic to expect it to grow at the same rate as before. China is confronted with the reality of supply-side constraints that every economy eventually runs into. •  According to UN projections, China’s working-age population (aged 15–59), is projected to shrink by 0.6% each year over the next 15 years. Slower growth does not mean anaemic growth. China may no longer grow at 8–10%, but it is well positioned to grow by 6 to 6.5% for the next five years. With the right mix of structural reforms, there is substantial scope for China to achieve faster catch-up in productivity and income levels. •  China’s per capita GDP is modest by international standards and its labour productivity remains well below the frontier. •  The less developed regions in China still have scope to grow at rates that are higher than the national average, and this process of internal convergence is itself an important source of future productivity growth. The large size of the Chinese economy means that, at even more moderate rates of growth, the incremental demand from China will be quite substantial in absolute terms – and this is what matters for the global economy.

•  China growing at 6% today adds $ billion of GDP compared to $ billion that a smaller China growing by 10% added 10 years ago. •  China contributed to more than one-third of world GDP growth last year, more than the combined contributions of the US, Europe and Japan. Addressing vulnerabilities Against this backdrop of moderating growth, China is also faced with the task of addressing vulnerabilities in its economy and financial system. The chief risk is leverage – both its level and its growth. •  According to the BIS, China’s credit-to-GDP ratio stands at around 250%, having risen by 100% points since end-2008. Nearly 70% of that increase is attributable to corporate debt. •  There are concerns that part of the corporate borrowing has been used to pay off existing loans, rather than being channelled towards productive activities. •  Many of the Chinese firms having difficulty servicing their debt are from the heavy industry sector facing excess capacity. China has the fiscal resources to backstop its financial sector’s liabilities and thereby stave off a systemic financial crisis. But the debt overhang will weigh on corporate investment and present a further headwind to growth. Indeed, with continuing producer price deflation, the real debt burden will keep rising, even as profitability falls. In a good scenario, the debt ratio stabilises at the current level, and then gradually declines as nominal GDP rises faster than credit; in other words, China grows out of its debt problem.
The exclusively crafted marble container also belongs to the baptistery, as part of its internal decoration, which, on its part, includes the famous mosaics with depictions of peacocks. Those were the peacocks that the artist Biljana Unkovska used when designing the layout of the modern Macedonian banknotes of ten Denars. Speaking of the ancient town of Stobi, besides the fact that it is really a constant inspiration for artistic creation, in the past it was a center with emphasized monetary production that took place more than 18 centuries ago. This exhibition is even more significant because of the generous support of the US Embassy in the Republic of Macedonia, which throughout the past years has enabled professional protection of these invaluable paintings, thanks to which they can now be publicly exhibited. The National Bank is honored by the given trust to host this exhibition, which I hope that over the next month will be an intriguing cultural event for the general public. I also hope that with  BIS central bankers’ speeches  1  the support of the Ministry of Culture and of the other institutions of culture in Macedonia, also in the future we will have an opportunity to enrich the public life and the creative social pulse of the country’s cultural life.

As it is actually typical for most central banks in the world, through the work of its museum, the National Bank has gradually established itself as an important cultural treasury of the numismatic cultural legacy of civilizations that existed in this region, thus giving its contribution to the enrichment of the Macedonian society with permanent and irreplaceable values; those without which common knowledge is doomed to poverty, without which we would not be able to recognize and understand the universal values of civilization that have been mounting for centuries in the long civilization pace of human existence. The National Bank of the Republic of Macedonia, together with the National Institution Stobi, have decided to approach the Macedonian public exactly on May 18th – the International Museum Day, jointly organizing this important exhibition, where for the first time an extremely valuable cultural heritage is presented to the public. It includes 19 unique fresco-fragments from the inner walls of the Old Episcopal basilica in Stobi, dating from the 4th century BC, which the history of art considers an exclusivity of paramount importance, given that this kind of artistic creation is not present in the wider range of the European mainland. Within the exhibition, the curators from the National Institution Stobi enabled us to closely look at the details of the mosaic floors that decorated this building. In addition, part of the exhibition are also the unique fresco-details that adorned the baptistery, which is located next to the Basilica.
Set against the serious circumstances then facing Spain, it may be said that the right approach was chosen, and the initiatives adopted helped mitigate the risks that had materialised. Despite this favourable change of course, the situation twelve months on remains complex, both from the European perspective and from the domestic standpoint of the Spanish economy. The European sovereign debt crisis is the most serious episode to impact the euro area since the single currency was founded. Its very nature and the difficulties in tackling it have, moreover, highlighted the shortcomings of the institutional framework of the euro. These include most notably the insufficient degree of fiscal discipline imposed by the Stability and Growth Pact, the absence of mechanisms to check the build-up of macroeconomic imbalances and the lack of tools with which to manage crisis situations such as those witnessed. Yet we must also acknowledge that there has been significant progress in recent months in these three areas. There have been various legislative initiatives to reinforce the Stability and Growth Pact, to establish arrangements for the prevention and correction of macroeconomic (other than fiscal) imbalances and, finally, to address crisis situations with the so-called European Stability Mechanism. But beyond the necessary reform of the economic governance of the euro, the difficult position of the Irish, Portuguese and, above all, Greek economies must be redressed. Tensions are at a peak and the outcome of the situation may have very important consequences for the euro area as a whole.

Mr Erçel talks about the Turkish banking system Speech by the Governor of the Central Bank of the Republic of Turkey, Mr Gazi Erçel, on the occasion of the American Turkish Council meeting in Ankara on 18 March 1999. First, I would like to thank the ATC arranging this gathering in Ankara. I am very pleased to be here today, and I would like to talk about the Turkish banking system. Let me begin by recalling that banks are important and serious institutions. They depend on trust. They borrow money from the public and use it. They also perform the function of intermediation of funds. For many centuries they have been institutions that contributed to economic development. There are a number of generally accepted, long-standing principles that apply to these institutions. The most important are: -  Providing effective supervision over these institutions. -  Maintaining an environment in which they can function efficiently. -  Making risk-taking measures adaptable and applicable. -  Helping to improve the culture of credit. Most of these responsibilities are assigned to public authorities, although some of them are the responsibility of the banks. During the last two decades, however, financial developments taking place all over the world have brought many changes in the practice of banking. Innovations in information technology, the liberalization process of financial markets and a rapid increase in the sheer number of financial transactions have also affected banking. Competition in banking and other sectors has increased.