samchain/econo-pairs-v1 huggingface dataset:
To overcome this, a temporary expansion of the list of collateral has been decided. Furthermore, the ECB intends to enhance the use of bank loans as collateral in Eurosystem operations. These measures should support bank lending, by increasing the amount of assets on euro area banks’ balance sheets that can be used to obtain central bank refinancing. Third, the Governing Council decided on measures aimed at fostering money market activity. Amongst others, the reserve ratio will be temporarily reduced, from 2% now to 1%. This increases the incentives for market participants to engage in money market transactions. Also, it increases the collateral available to banks, as it reduces their liquidity needs vis-à-vis the Eurosystem and thereby the amount of collateral that needs to be posted. Overall, all measures mentioned aim to ensure enhanced access of the banking sector to liquidity and facilitate the functioning of the euro area money market, thereby avoiding severe limitations to the real economy from a lack of financing possibilities. This also helps ensure that the official interest rates set by the ECB are transmitted in an appropriate way to the economy, and in that way help maintaining price stability in the medium term. II. Foundations for a stable economic and monetary union  Let me now turn to the outcome of the last European Council. This Council has really brought about a breakthrough in terms of commitment to sound and transparent fiscal rules.

Bandid Nijathaworn: Rethinking the role of financial soundness – financial infrastructure and long-term sustainable growth Remarks by Mr Bandid Nijathaworn, Deputy Governor of the Bank of Thailand, at the 8th Bank Indonesia Annual International Seminar 2010 on “Rethinking Macroeconomic and Financial Policies”, Jakarta, 22 October 2010. *  *  *  Thank you Chair, Let me begin by thanking Bank Indonesia for the invitation. It is a pleasure to be here. On the issue of financial soundness, it is certainly hard to overstate the importance of a sound financial infrastructure. In normal times, the financial sector plays a critical role in driving the real economy. But during times of stress, having a sound financial infrastructure is all the more important, because it is the viability of financial institutions that typically draws the line between a mild economic setback versus a full-blown crisis. But what are the essential features of a sound financial infrastructure? Let me highlight three key elements that I believe constitute financial system soundness. First is the efficiency aspect. The financial sector must perform its core functions efficiently. To this end, substantial progress has been made in Asian emerging markets, partly by default as globalization and the rapidly growing economies in Asia have raised competition among financial institutions, and also by design given the continuing efforts by the authorities to deregulate and develop the financial sector. Making further headway on these fronts, therefore, should be a continuing process. And I think this is what Bank Indonesia is doing.
According to the ECB, just under 30 per cent of all bond holdings in euro have been issued by foreign residents. The total stock of euro bonds issued by euro institutions is now EURO 7 400 billion. This market has grown substantially since 1999. The introduction of the euro has consequently affected the interest rate markets. We can see that there has been a dramatic reduction in the yield differentials for 5-year treasury bonds between the countries that have introduced the euro from about 5 to 7 percentage points during the years 1994-1996 to approximately 0.2 to 0.3 percentage points in recent years. In January and February this year, the yield on Swedish 5-year treasury bonds was around 80 points higher than the euro area average. Of course, part of this reduction in the euro area has to do with the consolidation of government finances in the EU countries to meet the convergence criteria, but the risk premium for exchange rate risk between the currencies that has now disappeared has definitely contributed to the reduction. The remaining yield differential can largely be explained by the different credit ratings of countries in the euro area as well as differences in liquidity between various bond issues. The introduction of the euro has also helped increase the width and depth of European capital markets and has at any rate led to almost complete integration of the part of the money market trading that is closely connected to the Eurosystem's monetary policy transactions.

The economy is now undergoing a slow recovery, driven by the normal cyclical course of events but subdued by balance sheet adjustments and geopolitical uncertainty. Balance sheet adjustments will continue, however, as there are still substantial savings imbalances between different regions of the world. At the same time, the risk of war has caused flight to safer assets and thereby resulted in low interest rates. Recently, there has been an improvement in earnings and a slight fall in credit spreads. Nevertheless, the effects of asset price adjustments on pension funds, life insurance companies and non-financial enterprises are still been felt through various parts of the economy. Should the economy follow a debt cycle in the future, there is also a risk that the currently low interest rates will lead to the implementation of projects that would be unprofitable at normal rate levels. How has housing finance in Sweden been affected in recent years by internationalisation, regulatory changes and balance sheet adjustments? Developments in the Swedish asset and debt markets have largely been the same as those abroad. Shares and commercial property have declined in value since 2000. Investment in residential property and prices of permanent single-family dwellings have risen by 8 and 15 per cent respectively for the past two years. Prices of tenant-owner apartments have also increased.
Michael Held: The evolving first line of defense Keynote address by Mr Michael Held, Executive Vice President of the Legal Group of the Federal Reserve Bank of New York, at the 1LoD Summit, New York City, 17 April 2018. * * * Good morning. It’s an honor to join you at the 1LoD Summit. The views I express today are my own, not necessarily those of the Federal Reserve Bank of New York or the Federal Reserve System.1 I’ve heard it said that being in the risk control business can be, and often is, a thankless task. We get all the blame when something goes wrong, and none of the glory when things go right. So, I want to start my remarks with a word of gratitude to you, my fellow travelers in the world of risk controls. Thank you—not just for the invitation to speak today, but also for the work you perform each day at your firms. The growing sophistication and stature of the first line of defense is, in my view, an unqualified improvement in corporate governance—especially at financial firms. Let’s begin with what you are defending. The credibility and reputation of your colleagues, your employer, and your industry. The trust of your customers and clients. And, perhaps most important, the public interest. From my perspective, you are not just a first line of defense for your organization. You are the first line of defense against significant risks to the financial system. This may sound inflated to some.

But, like many others, I see a role for professionalism in finance. The Banking Standards Board in the United Kingdom is a thought leader in this field. According to its most recent annual review, which I recommend to you all, “[P]rofessionalism comprises the attitudes, judgement and high standards of behaviour, knowledge and skill expected of individuals working in banking. . . . [G]reater professionalism in banking would help create a sector that, now and in the future, better met the needs and expectations of its customers, clients, members, employees, the economy and wider society.”14 In my view, various aspects of professions have a lot to offer. The eligibility requirements for many professions improve the likelihood that a practitioner will meet standards of competence and behavior in her professional conduct. These requirements cover character, prior record, and reputation—not only skill or education. Members of professions also benefit from codes of conduct that transcend specialized practices. These principles offer an ethical framework within which to tackle problems that are not easily resolved by narrow rules or processes. They make it easier to make and stick with good decisions. Gatherings in which members of a profession can come together and exchange ideas and opinions are crucial. They help members of a professional community keep up to date on important industry-wide developments and raise issues that present the need for collaboration. They also help to instill a shared sense of purpose and responsibility for carrying out the goals of the profession. A profession can also provide personal accountability.
Overall, we expect price stability to be maintained over the medium term, and the current monetary policy stance remains accommodative. The stance, the provision of liquidity and the allotment modes will be adjusted as appropriate, taking into account the fact that all the non-standard measures taken during the period of acute financial market tensions are, by construction, temporary in nature. Accordingly, the Governing Council will continue to monitor all developments over the period ahead very closely. Let me now explain our assessment in greater detail, starting with the economic analysis. Following the 0.3% quarter-on-quarter increase in euro area real GDP in the third quarter of 2010, recent statistical releases and survey-based evidence for the fourth quarter and the beginning of the year continue to confirm the positive underlying momentum of economic activity in the euro area. Looking ahead, euro area exports should benefit from the ongoing recovery in the world economy. At the same time, taking into account the relatively high level of business confidence in the euro area, private sector domestic demand should increasingly contribute to growth, supported by the accommodative monetary policy stance and the measures adopted to improve the functioning of the financial system. However, the recovery in activity is expected to be dampened by the process of balance sheet adjustment in various sectors. In the Governing Council’s assessment, the risks to this economic outlook are still slightly tilted to the downside, while uncertainty remains elevated.

In the long term, however, the current low level of interest rates is not compatible with price stability. If the economy performs as expected, the National Bank will further pursue the gradual adjustment of its monetary policy that has already been initiated. BIS Review 36/2006  1
During 1997-1998, we underwent a severe economic contraction, thousands of companies went bust, hundred thousands of people became unemployed, and the amount of nonperforming loans in the financial system skyrocketed. The economy staged a rebound in 1999 and 2000. But the recovery was cut short by the global economic downturn in 2001, when growth that year registered merely 2.2%. Things then started to turn in 2002. Despite the continued global slump, the Thai economy expanded 5.3% that year and has since been on a firm growth path. The resiliency of the economy is evidenced by the fact that during the past two years Thailand has weathered several economic storms – the Tsunami, avian flu, political uncertainty, and the recent oil shock – with only a moderate slowdown in GDP growth. BIS Review 46/2007  1  The key driver behind the current economic expansion has been a combination of domestic demand and exports. The latter, in particular, has always been our main engine of growth. One reason for this is that our export structure has become more diversified, both in terms of product and destination. For example, over the past twelve years, Thailand’s exports to ASEAN + China as percent of total exports has increased from 25 to 30% whereas those to G3 have declined from 51 to 42%. This allows us to reap benefit from the growing intra-regional trade, particularly China-related.

BIS Review 131/2009  1  Some ground-breaking market studies that have helped characterise both the demand and supply side issues peculiar to the Zambian financial sector have been undertaken. Most of you will be aware of the 2005 FinScope study findings which showed that only 33% of Zambia’s adult population had access to any formal or informal financial service or product. Arising from this, Government in collaboration with cooperating partners developed a performance assessment framework, under which a target of at least 50% by end-2009 has been set for the level of financial access. The findings of the on-going follow up Survey, whose results are due to be finalized by the end of this year, will give us an indication of the direction and level of access today. Honourable Minister, Distinguished Ladies and Gentlemen, before the end of FSDP Phase I, which ran from July 2004 to June 2009, it became quite apparent that a number of challenges and recommendations would arise which would not be possible to implement within the initial five year period approved by Cabinet in 2004. In addition, there were new developments, coupled with key recommendations from the second Financial Sector Assessment Programme (FSAP) of 2008, which required to be incorporated into the FSDP. Therefore, the second phase is envisaged to deal with longer-term issues pertaining to the overall strengthening of the legal framework for the financial system.
To sum up, weighing all the relevant indicators and adopting a forward-looking and mediumterm perspective, the Governing Council regards the current level of ECB interest rates as appropriate with a view to maintaining the outlook for continued price stability. Aspects of the Eurosystem’s communication policy The Treaty acknowledges that it is important in a democratic constitution for an independent central bank to be open, transparent and clear about the reasoning underlying its actions. Therefore, a number of reporting obligations exist for the ECB which aim at making the ECB accountable for its performance. Moreover, by communicating clearly with the public, the Eurosystem reinforces its credibility. In this regard, the Eurosystem’s approach bears comparison with the best practices of any other central bank. In practice the ECB has committed itself to exceeding the stringent requirements of the Treaty concerning transparency and accountability. For example, the ECB releases each month a bulletin providing detailed background information regarding the current assessment of the economic outlook. At the same time, with the more extended editions of the bulletin in March, June, September and December, we fulfil the Treaty requirement to publish a quarterly report. For the benefit of the general public, the ECB issues regular press releases and an introductory statement by the President, which is released immediately after the first Governing Council meeting each month. Furthermore, the ECB submits an annual report on its activities to the European Community institutions (the Council of the European Union, the European Commission and the European Parliament).

Regarding economic activity in the euro area, data available for the first two months of 1999 do not yet reveal evidence of a rebound in economic growth. Labour market indicators show signs of a somewhat decelerating level of employment growth towards the end of 1998. Meanwhile, preliminary April figures from the European Commission on confidence indicators point towards some first signs of an improvement in industrial confidence. Recent price trends have been consistent with price stability. Inflation for the euro area as measured by the harmonised index of consumer prices (HICP) has been close to 1% since the fourth quarter of 1998. As has been emphasised on previous occasions, the current low inflation rates are to some extent the reflection of the large fall in energy prices during 1998. HICP data for March 1999 show an annual increase of 1%. The slight increase relative to January and February reflects the fact that goods prices are subject to some upward movement in the short term owing to the reversal in energy price trends expected by the Governing Council at the beginning of April. However, the effects of changes in energy prices on rates of HICP increase may only be of a temporary nature. More lasting effects on future consumer prices normally come from changes in the overall monetary and economic situation.
Second, we have clarified that private banks may adopt a “portfolio-based” approach to suitability assessment instead of mechanically matching their client’s overall risk tolerance level to the risk level of individual products on a per transaction basis. Third, the new guidance simplifies the rationale for the recommendations process by stating that private banks may choose to document this in writing instead of via audio-recording in a face-to-face interview with the clients. And fourth, the guidance now states that private banking clients need not go through the usual biennial risk profile reviews, so long as they can confirm that there is no material change in their circumstances. I believe these measures offer significant facilitation and flexibility to private banks and their clients. However, I would stress that private banks must ensure that they put in place the necessary systems and internal controls, such as proper documentation. Indeed, this is not only for the client’s protection but the bank’s. Talent and professional development Well, ladies and gentlemen, so far we’ve discussed major economic challenges from Europe and the US and the new opportunities in this region. And we’ve noted the importance of  BIS central bankers’ speeches  5  having the right policy and regulatory framework. But these are not all. Overcoming the challenges and capturing the opportunities also requires each of us in our own institutions to play our part. So before closing, I’d like to take a moment to focus on the role of talent development and professional standards.

Eddie Yue: Hong Kong – challenges and opportunities ahead Speech by Mr Eddie Yue, Deputy Chief Executive of the Hong Kong Monetary Authority, at the Hong Kong Institute of Bankers Annual Conference 2012 “The year of transformation – heading into a new era”, Hong Kong, 13 September 2012. *  *  *  Financial Secretary, Patrick, distinguished guests, ladies and gentlemen, Good morning. It’s my great pleasure to be here at the fourth Annual Conference of the Hong Kong Institute of Bankers. The conference title behind me talks of “Heading into a New Era”. That’s a grand and ambitious statement. But, I believe, a fair one. The opportunities ahead for the banking sector are vast, particularly in terms of the offshore renminbi (RMB) market and asset management services. Today I’d like to discuss with you the reasons for my optimism. In doing so, I will detour slightly through some of the policy, regulatory and organisational priorities I think we will all need to work on. To start out, though, I should first acknowledge that, as with any journey, the travelling may not always be smooth. There is likely to be some occasional turbulence. I’m referring, of course, to the external economic challenges. So let me start there. The challenges It has now been five years since the start of the global financial crisis. Yet low growth and high volatility remain key features of the global economy. So much so that some commentators have asked whether these represent “the new normal”.
Clearly in principle the colder the external frost, the higher we need the internal temperature: the danger is that we overload the domestic boiler, with households becoming reluctant to take on more debt, or pay higher house prices, so that consumer spending growth moderates regardless of the outside temperature. Earlier this year in fact things seemed to be moving in the right direction: global demand appeared to be picking up quite well, and there appeared to be a reasonable prospect that consumption growth would moderate largely of its own accord. There was at that time a question of whether that moderation might need to be encouraged by higher interest rates. With the downward revision - over the summer - to the expected pace of global demand growth, the emphasis of our policy debate has shifted. The questions now are how far we need to try to sustain domestic demand growth by lowering interest rates, in order to maintain overall stability; and how far we can sensibly do so without excessive risk of overloading the domestic boiler. The best outcome for us of course would be if the external frost would continue to melt, with the global economy maintaining its gradual recovery and the euro continuing to strengthen in foreign exchange markets. And that is in fact in my view the most probable outcome. But until things become clearer we are very much on the spot. And perhaps, I thought, 'on the spot' was not a bad answer to the opera's third riddle.

But if the suitor got any one of the three riddles wrong, then he would be put to death, as indeed dozens of her suitors already had been. But as I sat there enjoying the opera, it slowly began to dawn on me that it isn't really a love story at all - it is an allegory about the state of the global economy. Turandot clearly represents the present international situation - potentially very attractive but immediately somewhat chilling. And her unfortunate suitors are obviously the world's woefully misunderstood and under-appreciated central bankers! Turandot's first riddle was "What is the ghost, which all the world invokes and is constantly renewed?" As I sat there it seemed obvious to me that the answer must be the US economy. For some years in the late 1990's "all the world" has looked to the US to keep it afloat - through the Asia crisis, then Russia and Long-Term Capital Management, with Latin America intermittently thrown in. And the US did a great job. But then two years or so ago the US began to fade - or give up the "ghost" if you like - with an investment-driven slowdown associated with the bursting of the ICT bubble and correction of over-exuberance in equity markets. But the ghost has shown clear signs of renewal over the past year; in fact US output in the third quarter was 3% up on a year earlier.