samchain/econo-pairs-v1 huggingface dataset:
See for instance: Willem Buiter and Anne Sibert’s original MMLR proposals from 2007 (Maverecon Buiter's  Blog: Central banks in a time of crisis: a preliminary scorecard  - Willem  ; or The Central Bank as the Market  Maker of last Resort: From lender of last resort to market maker of last resort | CEPR ); Paul Tucker’s 2009 speech (The Repertoire of Official Sector Interventions in the Financial System: Last Resort Lending MarketMaking, and Capital - speech by Paul Tucker | Bank of England); Perry Mehrling’s New Lombard Street (The New Lombard Street | Princeton University Press (bis.org)  ); this 2014 BIS workshop (Re-thinking the lender of last resort  ); Yale’s New Bagehot project, launched in 2017 (The New Bagehot Project | Yale School of Management  ); and the G30 and Brookings post-Covid reports on enhancing US Treasury market resilience (Group of 30 :: Publication Details (group30.org) (brookings.edu)  and Enhancing liquidity of the U.S. Treasury market under stress  ). 6. Which gave Defined Benefit pension schemes leveraged exposure to gilt yields, hedging against upside risks to  Page 14 liability values in a low-interest rate world, while freeing up space for the schemes to hold riskier, higher-yielding but less liquid assets. 7. https://committees.parliament.uk/publications/30129/documents/174330/default/ . In the event, the LDI operations returned revenue of £ to the UK government. But positive returns cannot be guaranteed from such operations, and would not have arisen, e.g.

Lim Hng Kiang: Assessing the global megatrends that will impact Singapore’s future Speech by Mr Lim Hng Kiang, Minister for Trade and Industry and Deputy Chairman of the Monetary Authority of Singapore, at the Credit Suisse Global Megatrends Conference, Sentosa Cove, 17 January 2013. *  *  *  Ambassador David Adelman, US Ambassador to Singapore Lito Camacho, Vice Chairman Asia Pacific and Country CEO, Singapore Francesco de Ferrari, Head of Private Banking, Asia Pacific Distinguished guests Ladies and gentlemen Good morning. It is my pleasure to join you at Credit Suisse’s first Global Megatrends Conference. It is fitting to hold this conference in Singapore. As a small, open economy in the heart of Asia, we have always been acutely conscious of global trends and developments. Our attitude has always been that we are too small to influence global developments and events. We are a price taker. What we can do is align Singapore’s position in anticipation of the major trends and be nimble enough to ride through short term volatility. So I am happy to share with you our assessments of the global megatrends that will impact our future; and how Singapore is positioning itself to take advantage of these trends. Let me highlight a few. Asia’s growing importance and economic integration Asia will continue to thrive, driven by Asian consumption, to become a key pillar of global demand. China already accounts for a quarter of the world’s demand for luxury goods.
Its basic functioning is as follows: if a given State suffers unwarranted tensions on its debt, we could decide to intervene as far as is necessary, provided that State commits to an agreed recovery programme. Undoubtedly, the announcement of the creation of the OMTs had a very strong impact: banks and firms regained access to capital markets; the spreads between the yields on Spanish and German 10-year bonds fell from more than 6pp in July 2012 to just under 3pp in May 2013, while the premium on Italian 10-year bond halved. This new monetary policy instrument has therefore fostered a considerable improvement in financial conditions in the euro area and represents a solid shield against further speculative attacks. The ECB’s Governing Council has stressed that monetary policy will remain accommodative for as long as necessary. In the period ahead, we will monitor very closely all incoming information on economic and monetary developments and stand ready to act if necessary. ********* The euro area is getting stronger: it is undergoing major reforms, building new institutions and setting up powerful crisis management instruments. These major and in many respects historical advances will lay the foundations for the future of our monetary union. The effects on financial markets are already very visible: tensions have abated and signs of defragmentation are starting to appear (TARGET balances for instance have declined by almost 300 billion euros or 25% from their peak).

This transformation reflects the coming-of-age of the Islamic banking industry after more than two decades of development. The move grants legal status to the Islamic banking business of the new entity, which is accorded a licence for its operations under the Islamic Banking Act 1983. The underlying philosophy of the incorporation of an Islamic subsidiary is primarily aimed at further strengthening the institutional structure for Islamic banking business operations. The Islamic subsidiary will also be able to assimilate the developments in the regulatory and supervisory standards governing the lslamic banking operations. It is envisaged that greater strategic focus and resources as well as higher autonomy and governance will be accorded to the Islamic banking business. The Islamic subsidiary will be led by a chief executive and a board of directors solely dedicated for the Islamic bank. Placed under the commercial banking arm of the group, the Islamic subsidiary will continue to leverage on the synergies and operating infrastructures of the group, thus achieving cost optimisation for the Islamic subsidiary and the group as a whole. For bank customers, the Islamic banking products and services will continue to be available at the existing branches of the conventional commercial banks. Given that it is a subsidiary with a more focused vision and business strategies, the potential that can be unleashed for the Islamic subsidiary will enhance value to its stakeholders.
And finally, the further measures that need to be implemented by the banking institutions and the SMEs in a more challenging environment of rising costs. Economic and financial developments Going forward, the international economic and financial environment is expected to remain challenging with slower global growth and continued uncertainties in the international financial markets. The moderation in global growth is also occurring in an environment of increasing inflation arising from the higher energy and commodity prices. The Malaysian economy has been on a steady growth path averaging about 6% in the recent three years. In 2007, the economy expanded by 6.3% and has continued to register a strong growth in the first half of 2008. This stronger growth has been achieved despite the more challenging external environment and increased uncertainties in the international financial markets. One of the important contributing factors has been the successful transformation of the Malaysian economy in this recent decade which has resulted in a more balanced and diversified growth, in which the services and agriculture sectors have become increasingly more important drivers of growth. In addition, domestic demand has a more significant role in driving the growth. The stronger domestic demand and growth in the services and agriculture sectors have benefited the SME sector since the majority of the SMEs are operating in these sectors. However, the rising international prices of energy and commodities have confronted economies globally with rising costs and intensifying inflationary pressures.

With the foundations now in place, on 2 June 2008 the Council announced the formation of the SME Central Coordinating Agency to further build on the successes that have been achieved and to take the SME sector to the next stage of development. This dedicated SME Agency represents a major structural enhancement in the SME development agenda and marks another milestone for SME development in Malaysia. The Small and Medium Industries Development Corporation or SMIDEC, will be transformed and repositioned to undertake this role. This new entity, that will be known as the SME Corporation Malaysia or SME Corp, will be a one-stop agency that undertakes the overall coordination of SME policy formulation and assessment of the SME development programmes. The SME Corp will serve as the central point of information, reference and advisory services for SMEs for all sectors and will assume the role of Secretariat to the Council, a role which has until now been undertaken by Bank Negara Malaysia. Increasing SME access to financing Bank Negara Malaysia's own efforts have been focused on ensuring that SMEs, at different stages of the business life cycle, have adequate access to financing. The initiatives have been directed at four broad areas. Firstly, the strengthening of financial service providers. This has involved strengthening the role of the banking institutions in providing financing to SMEs. This recent five years have seen the financial institutions accord greater focus to the SME sector.
Moreover the development of bond markets allows for a better financing of public deficits while providing instruments that enable international investors to diversify their portfolios. It provides a reference for the market and may thus pave the way for the issuance of private bonds. On the other hand, an efficient and developed financial sector offers better protection for the economy against the risks of a capital account crisis. Most of the EMEs’ crises of the 1990s were triggered or accompanied by banking crises. To improve resilience to external shocks, it is essential that financial players be able to manage interest and exchange rate risks in a more flexible environment, both for themselves and their customers. Now, how to achieve this in a smooth way? There is a kind of paradox in the interaction between internal and external liberalisation: the former may be a pre-requisite for the latter but external openness may help stimulate and enhance domestic financial reforms. Actually, in the absence of the challenge created by foreign competition, domestic financial reforms may not be broad and fast enough. Moreover, in terms of best practices dissemination, the presence of foreigners in the capital of domestic banks may ensure a faster adoption of international standards and codes, especially concerning the monitoring, control and management of financial and operational risks. This is crucial for the resilience and the stability of the financial system.

Here again, there is a nexus in the appropriate rhythm and interaction between the liberalisation of financial versus real markets. Once financial liberalisation has started, the process benefits from continuous innovation and from its own impetus. The same does not apply to reforms in the labour and good markets where rigidities and obstacles are often deeply rooted. BIS Review 64/2007  3  Lastly, better integration into the global economy requires an appropriate exchange rate strategy. An emerging economy with high productivity gains and potential growth in the tradable sector is prone to receive large capital inflows and have a real appreciation of its currency in the long term. The latter may come either or both from nominal appreciation or higher relative inflation. Arguably, exchange rate appreciation, which may result in an overvalued currency, is a risk for emerging economies that conduct export-led growth strategies. In order to stem appreciation and maintain their competitiveness, some emerging economies – like China – have accumulated ever larger amounts of foreign reserves. However, undervalued currencies also represent a significant risk, not only for inflation but also because it allows foreigners to buy cheaply national assets. In addition, undervalued currencies contribute to ballooning global imbalances. "En passant", I am pleased to note that both India and the Euro area post significant but not extravagant levels of reserves and that neither is responsible for the persistence of global imbalances.
With the achievement of relative macroeconomic stability in the recent years as evidenced by a significant reduction in the inflation rate to 8.5 percent as at June 2006, it is the expectation of the Bank of Zambia that all prudent lending institutions would make downward adjustments to their lending interest rates. Some commercial banks have taken the lead by reducing their base lending rates and we expect microfinance institutions will follow suit so that many more people can have access to affordable financial services. Mr Chairperson, Distinguished Guests, let me take this opportunity to inform you that following the coming into force of the Credit Reference Services (Licensing) Guidelines and the Credit Data (Privacy) Code on 30 January 2006, a credit reference bureau has since been issued with an operating licence to provide services to the Zambian market. Although the bureau will initially provide services to the banking sector, it will subsequently extend its services to other credit providers, such as, microfinance institutions. This will help in reducing credit risk through the availability of a widely accessible database on the loan repayment profile of borrowers. This should also provide another incentive for lowering of interest rates. BIS Review 72/2006  1  Ladies and Gentlemen, one way of addressing concerns of limited capital and dependence on donor support to the industry is by promoting linkage banking where microfinance institutions not only maintain accounts with commercial banks but also access funds from their respective commercial banks for on lending.

Joseph S Tracy: The shape of the recovery Remarks by Mr Joseph S Tracy, Executive Vice President of the Federal Reserve Bank of New York, at the Connecticut Business and Industry Association/MetroHartford Alliance Economic Summit and Outlook 2011, Hartford, Connecticut, 7 January 2011. *  *  *  It is a pleasure to be with you this morning. As the new year begins, it is instructive to look back over 2010 to try and discern what the shape of the recovery will look like over 2011. Let me note at the outset that my comments are my own and do not necessarily reflect the views of the Federal Reserve Bank of New York or the Federal Reserve System. Just six months ago a topic of keen interest was whether the economy was experiencing a temporary soft patch or was heading into a double-dip recession. Real gross domestic product (GDP) growth had slowed from 5 percent in the fourth quarter of 2009 to 3.7 percent in the first quarter of 2010, and to only 1.7 percent in the second quarter. Soft patches are common in expansions but are difficult to distinguish from a more serious decline in momentum. Examples of soft patches include the expansions in 1976 and 2002 (Chart 1). Soft patches typically result when the initial boost from inventory restocking and fiscal stimulus from government spending fades and must be replaced by underlying strength in the economy.
But in general this is not a battleground where the incentives of regulator and regulated are inherently in tension: we all want as smooth a transition as possible, and to reduce cliff-edge risks as best we can. Actions speak louder than words so I will simply mention three key actions we have in hand, with the help of Government and Parliament:   First, Parliament has been asked to approve our Temporary Permissions Regime (TPR), on which John Glen led for the government in the House of Commons debate yesterday. Simply put, this will allow us to bridge incoming EU27 firms for three years from March of next year while they seek an authorisation to continue business in the UK. We encourage all firms to opt into the regime because it will provide certainty until March 2022, independent of the existence and duration of any wider implementation period. This is a straightforward, common sense way of lowering the risk of disruption to the City of London.   Second, our efforts to avoid disruption to financial contracts. To allow for those firms exiting the UK to wind down their operations here in an orderly manner, the UK government is drafting temporary recognition and run-off regimes so that contracts written before Brexit can still be appropriately cleared and serviced after it, and I hope Parliament will support this. I strongly urge colleagues in the EU27 to take similar steps.

Further, the long-term nature of much life insurance business should reduce some of the risks associated with resolving financial institutions, and therefore elements of a going concern regime can be phased in more slowly than would otherwise be the case. At the same time, an orderly transition will promote financial stability. Recent changes in the microstructure of some financial markets have reduced liquidity and made them more susceptible to disorderly trading even in response to small shocks. It is not yet clear how much impact Solvency II will have on the asset side of insurers’ balance sheets, but given that UK insurance firms manage in the region of £ trillion in assets, it would seem wise to implement the new regime carefully. In my view there is only one serious argument which could push us in the other direction. If the sector was undercapitalised under the current regime, then allowing a gradual transition to the new standard would present a risk. This was exactly the position we found ourselves in with the banking sector when implementing CRDIV, the European vehicle for Basel III. The financial crisis had made it abundantly clear that our capital regime for banks was wholly inadequate. So we decided to move quickly, to promote safety and soundness and financial stability.
Page | 1  This assessment can be broadly confirmed at the current juncture. GDP growth in the first half of 2018 averaged 5.4%, which is in line with the latest projections that the Central Bank published over the summer. The unemployment rate fell to a new record low of 3.8% in the second quarter of this year. Labour market participation, previously on the low side, now slightly exceeds the euro area average. In the area of public finances, the general government balance remains in surplus, the debt-to-GDP ratio extended its downward path, and contingent liabilities, while still elevated, are now within the range observed in other countries. The external balance remains in surplus and inflationary  pressures remain contained. When compared with the information available a year ago, the economic record is even more impressive. Then, GDP growth in 2017 was recorded at 5.6%, now the latest vintage of data puts last year’s growth rate at 6.7%. Growth in 2018 is also expected to be higher than previously expected. The European Commission’s latest projections foresee growth this year at 5.4%, the second highest rate the European Union after that of Ireland. This compares with a projection of 4.9% in November 2017. According to the European Commission, fast growth rates are expected to prevail through 2020, although as one might expect, the pace of expansion is set to moderate from recent highs, with annual growth reckoned to stand at 4.4% in 2020. All this is positive news, but there is also some not so good news.

In this regard, banks have to embrace and employ technologies not only to improve their organisation’s own competitiveness, but also to be able to provide more efficient and lowercost financial services to Asian businesses and households. Regulators also need to establish an ecosystem that encourages financial innovation, competition, and efficiency improvement. In my view, there are at least two areas that banks and financial institutions could help improve productivity. First, digitization will certainly enhance productivity in financial services. In Thailand, electronic payment and digital banking are becoming increasingly widespread. Under the national e-payment program, businesses, households, and the government will significantly benefit from the cost reduction of financial services both in terms of money and time saved. Many initiatives under the national e-payment program, for instance, the new faster payment system or “PromptPay” and electronic government payments will provide foundation for many new add-on applications that will improve productivity across different segments of the Thai society. Thai banks have definitely played significant roles in hatching out these initiatives, starting from ideas and all the way through to implementation. Second, financial connectivity, particularly within our region, will also play a key role in enhancing productivity. Regional cooperation amongst Asian countries, not only in trade and investment, but also in finance has a potential to expand much further. I strongly believe that improved financial connectivity in Asia will be mutually beneficial to all.
Notice that leaving the check undeposited, much like the hoarding of currency, is a negative outcome for society. In this case, the receiver of the check is able to impose the costs of earning negative deposit rates on the check writer. But this outcome turns on its head the reason that the convention of allowing the check receiver the option of deciding when to deposit a check was adopted in the first place. Under positive interest rates, the check receiver has an incentive to deposit the check at his or her earliest convenience. In other words, these conventions are incentive-compatible ways society has devised to enforce the payment of debt, taxes, and other obligations. By reversing those incentives, negative rates encourage the check receiver to deposit a check from a creditworthy source at his or her latest convenience. This may impose unexpected costs on the check writer, triggering unplanned overdrafts and associated charges, and, in this case, just as in the case of currency, encouraging investment in undeposited checks, rather than in some productive investment. Once again, in these situations we should consider how innovations might alter the possibilities to avoid negative rates over time. For example, faced with potentially large  7  Many of these were reviewed in Kenneth Garbade and Jamie McAndrews, “If Interest Rates Go Negative . . . Or, Be Careful What You Wish For,” Liberty Street Economics blog, August 29, 2012, and in John Cochrane, “Cancel Currency?” The Grumpy Economist blog, December 30, 2014.

A particularly interesting case is given in one of the models discussed in the Danish working group on mortgages referenced above. In one of the models for dealing with negative interest rates, a borrower who would be due, for example, $ in interest payments today, has his principal balance reduced by $ reducing the need for a later repayment of $ But that presumes a 0 interest rate between now and the repayment date; an alternative would be to calculate the future value of $ today compounded at the negative rate of interest. 8  Because the strength of this incentive depends on creditworthiness, it is unlikely that the business of loansharking would change very much in a negative interest rate world. However, among trusted loan-sharks and their customers, one could imagine the comic possibilities of seeing loan-sharks’ goons roughing up borrowers when the borrowers attempt to prepay their loans. BIS central bankers’ speeches  7  repayments, many private contracts, such of those that allow prepayment or delayed deposit, might be renegotiated, introducing additional legal and operational frictions. 4. Pass-through to market rates, and retail v. wholesale  Another practical challenge is that most if not all parties involved in negative interest rate policies – central banks and commercial banks alike – may wish to immunize ordinary retail bank depositors against experiencing negative interest rates. This is, in large part, a practical concern.