samchain/econo-pairs-v1 huggingface dataset:
3 I set out our ambitions for the Fintech Hub in my speech “Open to Fintech”, available at https://www.bankofengland.co.uk/speech/2018/dave-ramsden-speech-hmts-international-fintech-conference. 4 See https://www.gov.uk/government/publications/cryptoassets-taskforce 5 See https://www.bankofengland.co.uk/news/2018/november/boe-boc-mas-joint-report-digital-transformation-in-cross-border-payments 1  2  All speeches are available online at www.bankofengland.co.uk/speeches  2  financial services might evolve over the next decade as part of the Bank’s Future of Finance project6; and analysing everything from the potential role of BigTechs in financial services to the implications of Open Banking and PSD2. But instead of looking back, I want to stay faithful to the spirit of today’s session and look forward to the contributions the Bank can make to the future of finance. Fintech is one of the Bank’s seven strategic priorities for 2019. In particular I’ll discuss three key areas of Fintech Hub focus in 2019: payments; unbundling; and artificial intelligence.7  Payments The first area I’ll focus on is payments. While the Bank is not nearly as old as the Guildhall, this year we are celebrating 325 years as the UK’s central bank; that includes 325 years of providing foundational payments services. Payments have become increasingly digital in recent years, and there are now hundreds of alternative payment methods8 available; recent years have seen a significant diversification of payment companies with new entrants to the market, such as e-money institutions and technology companies – which is why the subject is of interest to the Fintech Hub.

Implications of the ongoing crisis on the Chilean economy It is premature to try to quantify the consequences of the crisis on the Chilean or the world economy. There is great uncertainty, but still there are two aspects worth noting which point at the core of the Bank's objectives. One is associated with the financial markets’ operation and the other with inflationary prospects. Regarding financial stability, our powers and capacities for liquidity provision permit us to mitigate the financial consequences of these developments occurring outside our borders. Certainly, borrowing costs will go up, because credit constraints are an increasingly global phenomenon from which there is no escaping. But the Central Bank must safeguard the normal functioning of the payments system, and that is what we were set out to do when we began hoarding reserves as an investment in stability. Since the outset of the financial crisis, the Central Bank has been not only attentive to developments, but also analyzing much more stressful alternative scenarios and assessing the best policy responses to each of them. Although the reserve accumulation program was motivated by the possibility of having to face even worse scenarios than we have seen, we are well prepared to deal with bigger complications and shield our economy from their effects. It was in this context that we decided to offer the aforesaid foreign currency swap.
On this and other topics, the AIG is recommending that a certain degree of flexibility be applied, always taking into account both the material effect of these differences in terms of capital and the regulatory burden for the entities. This implies accepting, where appropriate, one single calculation for specific subsidiaries, resolving the question of the group calculation through aggregation rather than consolidation. However, this flexibility must be limited, strict and responsible; it must provide the smoothest and least costly transition possible, but it should not give rise to arbitrage problems. As I have said, this is a hot topic, and it is not easy, but given the advisability of the principle of having the entire group use a single approach in, I repeat, both subsidiaries and the parent, while ensuring that the overall risk culture and systems remain adapted to  BIS Review 45/2006  3  the sensitivities of each market, it is also advisable to ask host countries to make additional efforts to study and allow, to the extent possible, the application of this principle. This is just one example of the questions on which the AIG is actively engaged. As regards the distribution of tasks and the necessary coordination between home and host supervisors on the efficient implementation of the revised Framework, the AIG, together with the CPLG - the Core Principles Liaison Group, which includes 16 non-member countries as well as the IMF and the World Bank - has prepared a paper on information sharing between supervisors.

Our own research at the New York Fed has shown that higher-education institutions can help to build their local area’s skilled workforce, which is critical to the long-run economic success of any region. These institutions produce highly skilled labor and help their regions innovate by creating new knowledge and inventions through academic research and development. It can be especially beneficial for local businesses to take advantage of the research facilities available at local colleges and universities. Partnerships between private industry and higher-education institutions are an important ingredient in this regard. Going forward, I believe these partnerships will become more important than ever – particularly for places like Syracuse that continue to experience economic restructuring. Fortunately, this region already has a strong higher education industry in place. Conclusion To sum up, the incoming data on the U.S. economy has been a bit more upbeat of late, suggesting that the recovery may be getting better established. But, while these developments are certainly encouraging, it is far too soon to conclude that we are out of the woods in terms of generating a strong, sustainable recovery. On the inflation front, the year-over-year rate of consumer price inflation has slowed in recent months, and despite the recent rise of gasoline prices, we expect inflation to moderate further in 2012. Here in Syracuse, while the recovery to date has not been as strong as we would like, the region’s vibrant health and education sector provides a solid base for longer-term growth. Thank you for your kind attention.
Global ancillary services that are proficient in the Shariah, also have an important role in providing supportive professional services for such intermediaries and market players to effectively embark on such cross-border activities. In addition, having the required talent is another imperative in steering the Islamic financial sector towards increased internationalisation. The new financial landscape will require world-class business talent and boards with knowledge of the risks associated with internationalisation. Greater collaboration between the industry and education service providers will be important in supporting the talent requirements of the industry in its new phase of development. Today, we will witness the signing of a Memorandum of Agreement between an industry player and an academic institution for the establishment of an Islamic wealth management research centre. This commendable effort is dedicated to producing applied research in the area of Islamic wealth management. It is envisaged to spur innovation that will bring with it global benefits and that would also contribute towards setting industry standards in this key component of the Islamic financial industry. Thirdly, effective linkages and connections between global financial markets will be facilitated by business enablers, particularly in the area of legislation, taxation and regulation. The new global landscape of growing cross-border financial flows between regions that have national  2  BIS central bankers’ speeches  and cultural differences also underscores the need for enhanced recognition and understanding of practices in the different jurisdictions.

Jean-Pierre Roth: Monetary policy and credit markets Summary of a speech by Mr Jean-Pierre Roth, Chairman of the Governing Board of the Swiss National Bank, at the University of St Gallen, St Gallen, 22 January 2004. The complete speech can be found in German on the Swiss National Bank’s website (www.snb.ch). *  *  *  The economic slump of the past two years has affected the credit markets. Corporate loans declined, and on the capital market redemptions of shares and bonds of private borrowers exceeded new issues. In this speech, a few general points concerning credit financing and monetary policy will be discussed. The financing opportunities and, concomitantly, a borrower’s expenditure behaviour depend on the value of capital assets eligible as collateral or, more generally, on the borrower’s balance sheet structure. Due to the major significance of real estate as security, the situation on the real estate market in turn has a considerable bearing on credit conditions. The Swiss National Bank thus keeps a careful eye on price development in the real estate market. Monetary policy influences the prices of investments and thus impacts on the economy via the borrowers’ balance sheets. This is not the only channel - and certainly not the most important one through which monetary policy exerts an influence; it may, however, be relevant under certain circumstances. Since corporate balance sheets differ considerably from one enterprise to another, monetary policy has distributive effects.
And in the UK, we have the foundations and infrastructure to make markets here a global good. To reap the economic rewards, it will need to develop safely and sustainably. With credit markets and commercial property markets stretched, a broadening of our work is timely. Britain’s corporate sector seems not to have become exposed to these stretched valuations. But that can’t be taken for granted, as developments elsewhere show. And as markets develop, some questions need to be addressed about their resilience. The work of this Centre, in pursuit of its mission, can contribute to understanding of that. And I look forward to collaborating in future. Because markets will from time to time be stretched. It’s important that the economic body remains fit enough to stretch without causing strains. 15  All speeches are available online at www.bankofengland.co.uk/speeches  15

On 25 September 1999 the ECB and the EU national central banks will conduct a demonstration of the TARGET Year 2000 compliance in which – according to current information – several hundred EU credit institutions will participate. Prior to this, the ECB and the national central banks have already successfully tested their TARGET components first at the national level and thereafter in cross-border tests. To a large extent, credit institutions have already taken part in these tests. In parallel, as announced a few weeks ago, on 29 June 1999 the ECB together with the national central banks successfully completed the bilateral testing of the ESCB applications that are necessary for the conduct of monetary policy operations. The testing exercise, together with the parallel remedial actions, has proved that these systems are Year 2000 compliant. BIS Review 96/1999  2  You may recall that on 15 July 1999 we decided to close TARGET on 31 December 1999 in order to smooth the transition not only for the ESCB institutions, but also for the other financial institutions. This day can thus be kept free for end-of-year operations and for making full back-ups of the relevant systems. In the area of TARGET, as well as in the area of monetary policy implementation and liquidity management, we are also reviewing our contingency procedures to minimise any potential Year 2000-related impact. It is worth noting that general contingency procedures had already been put in place shortly before the launch of the euro.
Demand for euro may also be affected by the single currency’s conceivable international importance, so that the use of euro exceeds what one would expect from the area’s economic weight. To achieve international status, a currency needs to be stable, liquid and large. It should be born in mind that the German mark is currently an international currency. So perhaps the changeover to the euro will not make such a notable difference even if a potential exists for the position of the euro becoming even stronger. It is generally assumed that exchange rates will not be permanently affected by portfolio rearrangements which do not stem from more fundamental considerations. But as the euro’s entry into currency markets is something entirely new, it is hard to tell whether the scale of portfolio changes will be such that euro exchange rates are influenced at least for a time. And as the rearrangements will probably include both investment and borrowing in euro, neither is it clear what their net effect might be. As I mentioned earlier, the development of the euro will ultimately depend on expectations of inflation in the euro area relative to the rest of the world. 3. Role of the euro in Sweden How will the euro affect Sweden’s currency, the krona?

4 Negative interest rates As I mentioned earlier, it has long been assumed that interest rates had to be positive. That barrier has now been broken by a number of central banks. They now operate a policy of negative rates with a view to bringing short-term market rates below zero. Two approaches are being used to achieve this. Chart: Sveriges Riksbank interest rates Sweden has chosen the first approach. The policy rate itself is a negative 0.35 percent. This is combined with normal liquidity management without excess reserves in the banking system. As a result, the shortest money market rates are also negative. 5 The central banks in the euro area, Switzerland and Denmark have chosen a different approach. Policy rates are zero or marginally positive, while the reserve rate is negative. At the same time, there are substantial excess reserves in the banking system. The reserve rate is a negative 0.75 percent in Switzerland and Denmark and a negative 0.2 percent in the euro area. 6 Maintaining large excess reserves is a deliberate policy. These central banks have supplied liquidity to the market and intentionally used the excess reserves to push down the overnight interbank rate towards the reserve rate. The central banks of Denmark and Switzerland have achieved this by purchasing foreign currency to counteract an appreciation of the exchange rate. By also permitting short-term money market rates to become negative, they have made the domestic currency less attractive.
This is why the HKMA has in the last few years been embarking on a programme to help equip and empower the INEDs. Our intention is to help INEDs to work with the executive directors and senior management to achieve a more optimal outcome and not work against them. So it is important that the bank management joins the HKMA in embracing the empowerment of INEDs because we all share the common interests and goals. 7. Under this INED empowerment programme, we have rolled out a number of initiatives. Some of you have attended the High Level Seminar co-organised by the HKMA and China Banking Regulatory Commission (CBRC), which was designed to give INEDs a unique opportunity to understand the macro perspectives of China’s development strategy and how Hong Kong should position itself in the years to come. The first one was held in Beijing in October 2015 and the second one was held in Xian in June last year. On both occasions, 1/2  BIS central bankers' speeches  the former Chairman of CBRC personally attended to speak to the INEDs, which is a clear indication of the support given by Beijing on this programme. On a regular basis, we have also organised thematic seminars in Hong Kong, all of which were well attended by INEDs. In December last year, we issued guidance to banks on the HKMA’s requirements to enhance the roles of INEDs, including their remuneration and the way the boards should conduct their meetings.

26  All speeches are available online at www.bankofengland.co.uk/news/speeches and @BoE_PressOffice  26  Stamp, J (1931), ‘The Report of the Macmillan Committee’. The Economic Journal, 41(163), 424-435. Stock, J H and Watson M W (2002), ‘Has the business cycle changed and why?’, NBER Macroeconomics Annual, 17, 159-218. Schularick, M and Taylor, A M (2012), ‘Credit Booms Gone Bust: Monetary Policy, Leverage Cycles, and Financial Crises, 1870-2008’ American Economic Review, 102 (2): 1029-61 Woodford, M (2012), ‘Methods of Policy Accommodation at the Interest Rate Lower Bound’, Federal Reserve Bank of Kansas City Symposium, Jackson Hole. 27  All speeches are available online at www.bankofengland.co.uk/news/speeches and @BoE_PressOffice  27
For many families, this distress was compounded by losses of wealth from declining home prices. Since that low point of employment, job creation has resumed, albeit at a slower pace than we would like, and unemployment has retreated by a percentage point. As in other parts of the country, employment in our region declined substantially during the recession. But, the various parts of our region had very different experiences. Employment in much of New York State, including the Hudson Valley, declined less severely than the nation. Both the state and city lost about 3.8 percent of their jobs. Part of the reason for the more moderate decline in jobs in New York during the recession was a less pronounced boom-bust housing cycle. Indeed, as a percentage, the city and state lost fewer jobs during this recession than they did during either of the last two downturns. Now, as in the nation, a labor market recovery has begun across much of the region. Over the past year, New York State has added roughly 100,000 private-sector jobs. Within the state, the recovery has been somewhat uneven. New York City has been gaining jobs for  4  BIS central bankers’ speeches  more than a year now – at roughly the same pace as the nation, while to date, the Hudson Valley has seen little overall job growth. Conditions in the Hudson Valley Continuing to drill down geographically, let me talk in more detail about conditions here the mid-Hudson Valley.

In the near-term, the regional economy, and indeed the economy of the entire state, faces a number of challenges. Among them is the need to address the large state budget gap. New York is not alone in having seen its tax revenue decline as the economy weakened and, thus, facing hard choices. As I mentioned, state and local government employment has already weakened in many areas. Going forward, further contraction in this sector continues to pose some risks to the recovery. Longer term, one of the key challenges for this region is to ensure that it trains and attracts a highly skilled workforce that can meet the needs of innovative and rapidly changing firms. A region’s human capital – that is, the skills and education of its work force – determines a large part of its economic success and resiliency. The education and research taking place in local colleges and universities, such as SUNY New Paltz, directly helps to build those skills and sustain economic growth. Conclusion To sum up, the national economy experienced a soft patch in activity during the first quarter of 2011, while the recovery in much of the region continued at a good pace. In the region, the continued expansion of employment across the nation should help increase economic activity and employment in the Hudson Valley. Yet, as elsewhere, state and local government will likely be a drag for some time. And, both nationally and regionally, unemployment remains unacceptably high. Thank you for your kind attention.
Given today’s decision, the key rate is at the top of this range equalling from 6% to 7% in nominal terms, or from 2% to 3% in real terms, which is the same, with inflation expected to reach 4%. In this regard, it is of note that the neutral key rate estimate is not ‘a point’, but a range of values. It depends on various domestic and global drivers, as well as the monetary policy transmission mechanism, and may alter, being affected by them. It will therefore take time to ‘feel’ the thresholds of this ‘neutral range’ and make sure that they are in line with our current estimates. If necessary, we will adjust these estimates. A sustainable inflation rate close to the 4% target will be the key criterion suggesting that we are right in our estimates of this range. 3/3  BIS central bankers' speeches

Reports of the demise of cash are vastly exaggerated. Notes and coins have been with us a long time, and have served a crucial role in the growth of the modern economy. I suspect they will be with us for quite some time more. BIS central bankers’ speeches  1  Three “C”s of a good payment instrument But be it physical cash or electronic payment, the medium of exchange for transactions must satisfy three requirements. I will refer to these as the three “C”s of a preferred payment system – confidence, convenience, and cost-effectiveness. First, confidence. Businesses and consumers must be assured of the security of payment instruments. The widespread circulation of counterfeit notes and coins can impair confidence in a country’s currency. As John Maynard Keynes put it nearly a century ago, quoting Lenin, “There is no subtler, no surer means of overturning the existing basis of society than to debauch the currency.” Keynes was, of course, talking about the deleterious effects of inflation. But it applies just as well to debasing the currency through counterfeiting. Ensuring the fidelity of notes and coins and the soundness of electronic payments is therefore a critical function. Central banks and currency issuing authorities must continually innovate and stay ahead of fraudsters. In electronic fund transfers, we have instituted more end-to-end security measures like two-factor authentication. Modern currency notes come with very advanced security features. I wanted to give some examples, but have been advised that it would be tantamount to giving away our secrets!