samchain/econo-pairs-v1 huggingface dataset:
When a criminal activity generates substantial profits, the individual or group involved must find a way to control the funds without attracting attention to the underlying activity or the persons involved. Criminals do this by disguising the sources, changing the forms of the funds, or moving the said funds to a place where they are less likely to attract attention. In response to mounting concern over money laundering, the Financial Action Task Force on money laundering (FATF) was established by the G-7 Summit in Paris in 1989 to develop a coordinated international response. One of the first task of the FATF was to develop Recommendations, (40 in all, plus 9 Special Recommendations) which set out the measures national governments should take to implement effective anti-money laundering programs. The FATF works closely with other international bodies involved in fight against money laundering. And, one of those international organizations is the Asia Pacific Group on Money Laundering (the APG) in which Samoa is a member. The APG was officially established as an autonomous regional anti-money laundering body in February 1997 for Asia and the Pacific region at the Fourth Asia/Pacific Money Laundering Symposium in Bangkok, Thailand. This was the culmination of a process of “awareness raising” in the Asia Pacific region initiated by the FATF as part of its global strategy. To date, the APG has 39 member countries and a number of international and regional observers, including the United Nations, the IMF and the World Bank.

Malaysia has a comparative advantage in this area. The Malaysian bond market is the largest in the ASEAN region, and it is the leading global centre for sukuk issuance. The regulatory framework and supporting infrastructure for bond issuances here is comprehensive. In the past, many 3/4  BIS central bankers' speeches  foreign corporations including multinationals have issued bonds and sukuk out of Malaysia. With the increased financing requirement by Chinese companies for infrastructure development throughout the Asian region, estimated to be more than USD1 trillion in the initial stage, investment banks should seize the business opportunities in bonds origination, distribution, investment and trading services. Our markets have already seen issuances of ‘dim sum’ bonds which were highly successful, such as the previous Axiata and Cagamas issuances. 4. Fourth, is to offer competitive trade financing and settlement services. From our industry engagements through Bank Negara Malaysia’s Financial Markets Committee, a key area that we need to strengthen in support of our international and regional trade is trade financing. Given the importance of China to us in this, renminbi trade financing should be given special attention. For corporations which trade predominantly with China, there are many benefits to settle trade in renminbi, in particular, lower foreign exchange conversion costs and greater access to new markets in China.
Set against the progressive weakening of the world economy, this improvement in the external contribution was due to the notable slowdown in imports, whereby the fall in GDP is proving more moderate than in other countries. The decline in residential investment, along with the sharp pick-up in the household saving rate to 13% of disposable income, entailed an abrupt reduction in household net borrowing, insofar as households generated a net lending capacity for an amount equivalent to 0.6% of GDP over the year as a whole. The slowdown in household debt intensified to the extent that the debt/GDP ratio began to fall in the closing months of the year. In the case of businesses, the decline in productive investment also led to a sharp reduction in net borrowing, which was ultimately manifest in a slowdown in the rate of increase of the debt ratio, although the interest burden still continued to increase. As a result of the change in the sign and intensity of foreign trade, there has been a reduction in the nation’s high net borrowing, which stepped up in the opening months of 2009, as shown by the 25% decline in the first quarter when compared with the same period a year earlier. Foreseeably, the decrease in the external deficit will continue apace in the coming months, and it may have halved within two years, evidencing the speed of the adjustment induced by the depth of the contraction in domestic demand.

First, I would start with regulations for small and medium-sized banking institutions. As I discussed earlier, we must ensure that the firms whose failure could impose the greatest costs on ordinary borrowers and savers have the capital, liquidity and risk management standards appropriate to that risk. But, the majority of banks in the United States do not come close to falling into this category. For smaller institutions, the regulatory and compliance burdens can be considerably lighter because the failure of such a firm will not impose large costs or stress on the broader financial system. Also, we must recognize that smaller firms have less ability to spread added compliance costs across their business. All else equal, an increase in compliance burden can create an unintended competitive advantage for larger institutions. We should also recognize the important role that smaller banking institutions have in supporting local communities around the country. The ability to lend to local businesses often depends on close bank-customer relationships, and on knowledge that is often difficult to develop when the home office is very distant. 5/6  BIS central bankers' speeches  There have been efforts by regulators at the Federal Reserve and elsewhere to reduce the regulatory requirements for such institutions, and that is something that we should continue to work on. Lawmakers could also evaluate statutory thresholds to see if they should be raised to apply to fewer, larger institutions. For example, the Dodd-Frank Act sets a higher prudential regime for those firms with $ billion or more in assets.
As a  1  We have been tracking these developments using data our economists have developed to help us better understand the job prospects facing recent college graduates. These data are available on our website and are updated regularly. See The Labor Market for Recent College Graduates. BIS central bankers’ speeches  5  result, for the first time during this recovery, both unemployment and underemployment among recent college graduates has generally been falling. This means that, not only has it become easier to find a job upon graduation, but more college graduates are taking jobs that better utilize their degrees. In addition, starting salaries for recent college graduates have been increasing for the past couple of years, reflecting the growing demand for their skills in a tighter job market. To conclude, while there are economic challenges facing both the nation and the region, I am optimistic that we will continue to make progress on both fronts over the next few years. Achieving our dual mandate of maximum sustainable employment and price stability will help those who will graduate soon to achieve their own aspirations. Thank you for your kind attention. I would be happy to take some questions. 6  BIS central bankers’ speeches

François Villeroy de Galhau: Monetary policy in uncertain times Speech by Mr François Villeroy de Galhau, Governor of the Bank of France, at the London School of Economics, London, 15 February 2022. * * *  Introduction I am very grateful to Iain Begg for the invitation to speak to you today, more than two years after my first intervention at the LSE. So many things have happened since then, and the Ukrainian crisis shows that uncertainty isn’t going away any time soon. The euro area, like many other economies in the world, is entering a crucial phase in the recovery from the covid-19 crisis. There is good news, there is bad news and the two are very much related to each other. Unemployment has fallen to its lowest level in the history of the euro area and real GDP surpassed its pre-crisis level in the final quarter of 2021. On the less positive side, shortages of materials, equipment and labour persist in some sectors whilst others still operate below capacity. This lopsided economy plus sharply higher energy and food prices caused headline inflation in the euro zone to accelerate to 5.1% in January. Core inflation is only at 2.3% but significantly higher than one year ago (1.4%).
8  5  See Financial Stability Forum, FSF Working Group on Market and Institutional Resilience, Preliminary Report to the G7 Finance Ministers and Central Bank Governors, 15 October 2007, available at: http://www.fsforum.org/publications/publication_24_88.html. 6  The informal ECOFIN of Porto considered that, while enhancing market efficiency, financial innovation also raises obvious challenges to the regulatory and supervisory authorities. In this context, the Economic and Financial Committee (EFC) was invited (i) to review how to further improve transparency of complex financial instruments, of institutions and vehicles, as well as how to improve valuation processes, risk management and liquidity stress testing. The EFC is also invited to consider the role of rating agencies in structured finance. 7  Available at www.efmlg.org. In its Report on Financial Integration in Europe (March 2007), the ECB indicates that it has been active in various initiatives of the EFMLG to overcome legal barriers to financial integration, such as through the closer harmonisation of securitisation laws in the EU and contributed in particular to the EFMLG report on cross-border legal obstacles to securitisation.

Legal systems and competitiveness of financial centres  Fundamentally, the legal system should ensure that contract and property rights are sufficiently clear and predictable; if there is a dispute, participants in the contract do not feel  1  I wish to thank L. Stracca, M. Svoboda, S. Kerjean, F. Recine and C. Zilioli for their contribution. 2  Mishkin (2005). 3  Precisely through its negative impact on the quality of institutions and law enforcement. BIS Review 122/2007  1  the need to take legal action unless as a last resort. Moreover, if there is litigation, the court is independent and able to resolve the claim effectively and in a reasonable time. Furthermore, the judgment, once delivered, has to be quickly enforced. To underline the importance of this aspect let me give the example my own country. There is a growing literature suggesting that one of the reasons for the relatively slow pace of financial development in Italy is the slowness of the civil courts, with the result that, for example, mortgage debt is still a fraction of what it is typically in other advanced countries. 4 At this point it should be clear that an efficient legal system is a key ingredient of competitiveness among financial centres. One of the reasons of the traditional lead of US financial markets over Europe (and the rest of the world) is greater standardisation of legal norms and systems, while the European financial system is still characterised by considerable fragmentation of legislation, regulation and enforcement.
And in recent years, virtual currencies such as Bitcoin have been introduced. What responsibility central banks should have for the security and efficiency of electronic means of payment needs to be more closely examined. The overarching question is whether it is important for there to be a “state means of payment” in order to maintain confidence in the payment system. If the answer is yes, we need to ask ourselves whether the issuing of private means of payment should be restricted or regulated more than it is today. Or should there perhaps be access to electronic Riksbank cash in the future? This is an example of very interesting questions that require new ways of thinking as well as considerable research. 2 Risk of over-confidence in market mechanisms Payment innovations are intrinsically positive and good for society. They give us faster and more easily accessible payment methods that simplify our daily lives and contribute to continued growth. But there are also risks associated with them. It is in society’s interests that everyone can make payments in a simple and standardised way A report into the subject, on whether the right to payment accounts should be incorporated into Swedish law, was recently circulated for consultation. 3 The directive says that all those who live within the EU’s borders shall have access to a bank account with basic payment features. It talks in particular about the possibility of withdrawing and depositing cash and of course of making payments, both in person and online.

Let me now wrap up my presentation and add a few words about our current monetary policy. 5. Concluding remarks  Switzerland has a long history of political independence. At the same time the country has consistently pursued prosperity via strong integration in the world economy in general and the European economy in particular. Through this active international integration into the global economy, the country has achieved and maintained a high level of affluence. However, the notion that Switzerland is a sheltered island in the midst of a stormy sea could not be further from the truth. For a small open economy like Switzerland, the international environment is source of both opportunities and large destabilising shocks. The unavoidable discontinuation of the minimum exchange rate against the euro is a powerful example. It provoked a strong reaction on international financial markets and, as a result, the Swiss franc appreciated sharply. The significant overvaluation of our currency means that the Swiss economy, notably the sectors exposed to international competition, is currently facing strong headwinds and a number of challenges. The SNB has lowered interest rates to unprecedented levels to cushion the effects of the currency appreciation. The lowering of interest rates means that holding Swiss francs is significantly more costly than holding foreign currency. The negative interest rate is set to have a corrective effect on the Swiss franc’s valuation. Moreover, the SNB will continue to take the exchange rate situation into consideration when formulating its monetary policy.
Muhammad bin Ibrahim: Scaling up excellence – creating opportunities while mitigating risks Keynote address by Mr Muhammad bin Ibrahim, Deputy Governor of the Central Bank of Malaysia, at the Regional Conference on Money Services Business “Scaling up excellence – creating opportunities while mitigating risks”, Kuala Lumpur, 19 May 2014. *  *  *  I’m glad to be here with you today to join Mr Mathew A. Verghis in welcoming you to this regional conference on money services business. On behalf of Bank Negara Malaysia, I would like to thank the World Bank, the Malaysian Association of Money Services Business, and the International Association of Money Transfer Networks who partnered with us in organising this event. This conference aims to bring together regulators and industry players to review developments in the money services business industry at a time when there are significant changes occurring in the financial industry. In many countries, money services business plays an important role in complementing banking institutions to provide financial services to the community, in particular, the unbanked and small business communities. Given the forces of change that are reshaping the financial industry, it is timely to consider how these forces impacted the expectations, opportunities and challenges for money services businesses. The money services business industry contribute to an important purpose in our communities. They provide financial services to segments of society in both the developing and developed world that do not have access to basic banking facilities and services.

Finansinspektionen (Swedish FSA) recently announced that the major Swedish banks should prepare for their capital requirements to rise to the levels proposed in Basel III within the next few years, ahead of the international schedule for implementing Basel III. And I think that we should consider going further than Basel III in other ways in order to reflect the specific vulnerabilities and risks that exist in Sweden, for example by introducing liquidity requirements with specific rules for matching maturities per currency. This also seems to be the Swedish Government’s view. According to the Fiscal Spring Policy Bill of 2011, the government’s intention is – while the  2  For a more detailed discussion of the lessons of the Swedish crisis, see Stefan Ingves and Göran Lind (2008), “Stockholm’s solutions”, Finance & Development, IMF, December 2008. 4  BIS central bankers’ speeches  transition rules for Basel II still applies – to try different ways of strengthening the capital adequacy rules for systemically important banks beyond what will be required when Basel III is implemented. In addition, the Swedish government recently established a Financial Crisis Committee to review the current regulatory framework and the handling of the recent crisis. It will also propose changes that would reduce the likelihood of future financial crises, by using preventive measures, and allow them to be resolved in an efficient manner. This will be a wide-ranging review that will consider the issues I have briefly mentioned in this speech, as well as many other issues.
In addition, there was a slow down in the growth of Government, private and non-bank financial institutions sectors borrowings to 2.3%, 3.1% and 10.3% in January 2004 from 3.1%, 3.4% and 14.5%, respectively. On a year-on-year basis, domestic credit slowed down by 7.5 percentage points to 40.0%. •  Following the reduction in the statutory reserve ratios on commercial banks’ Kwacha and foreign currency deposits to 14.0% from 17.5% on 31st October 2003, commercial banks’ total loans and advances increased by 6.6% between October 2003 and January 2004 in nominal terms. Sectors to which most of this lending went with respective percentage increases were: agriculture (12.2%), mining (36.3%) and electricity, gas, water and energy (316.9%). However, credit to the manufacturing sector fell by 18.8% while lending to the transport, storage and communications sector declined by 9.6%. Interest rates Yield rates on Treasury bills and Government bonds •  High liquidity levels, coupled with Government’s restraint on further borrowings from the market, continued to exert downward pressure on yield rates. The weighted average yield rate for all Treasury bills fell by 3.7 percentage points to 15.5 percent in February. This was driven by declines in the individual yield rates of all Treasury bills. •  Similarly, yield rates on Government bonds further declined, supported by reduced Government borrowing and abundance of liquidity in the market. Thus, the weighted average yield rate for all Government bonds fell to 17.5 percent in February from 22.7 percent in January.

•  The asset quality in the month under review was satisfactory, with the level of interest earning assets accounting for 77% of total assets compared to 76% for the preceding month. •  The sector’s income before tax amounted to K48,206 million compared to K23,897 million recorded in January. The 100% increase in profit before tax was mainly on account of the following: interest income, which increased by K58,497 million or 93% compared to K11,813 million or 82% increase in interest expenses. Additionally, foreign exchange income in gains and commissions increased by 100% from K30,291 million to K60,857 million. Non-interest expenses increased to K 104,869 million compared to K52,916 million in January 2004. However, the ratio of non-interest expenses to total net income remained at 69%. •  The banking sector’s liquidity position was satisfactory with the liquidity ratio (liquid assets to total deposits and short-term liabilities) remaining constant at 75%. All banks met the prudential minimum ratio of 50%. The deposit concentration at 28% from 31% in January was also well spread. Total deposits to total assets dropped to 71% from 73% in January. Money laundering draft directives •  On 18 March 2004, the BoZ held a consultative workshop with financial institutions, to discuss the draft Money Laundering Directives. Valuable contributions to clarify or strengthen the draft Directives at this well attended workshop were received. The BoZ is now in the process of finalising the said directives.
This is our response to the question of to what extent the Central Bank of Turkey may allow for supply side shocks. Monetary tightening consistent with the target constitutes the second pillar of this policy. If we foresee any deviation of inflation outlook from the target, the necessary policy action will be taken without any hesitation or delay. As you remember, I started my speech with the words of Charles Stamp, former Governor of the Bank of England: “It is easy to dodge our responsibilities, but we cannot dodge the consequences of dodging our responsibilities.” The Central Bank of the Republic of Turkey will not dodge its responsibilities. In this environment of massive global challenges, we perceive the new inflation targets as attainable. All the existing monetary policy tools in hand will be utilized decisively and without any hesitation in order to attain these targets. While concluding my speech, I would like to extend my thanks to the Turkish Economic Association and the International Economic Association, and all other institutions and individuals who contributed to the organization of this significant event. Thank you. BIS Review 82/2008  7

The International Energy Agency expects to see the second-biggest increase in carbon emissions in history this year, eradicating 80% of the 2020 reductions. 2 The good news is that 2021 may also provide just the kind of momentum we need to tackle climate change effectively. As the European Union and national governments start making large investments to pave the way for recovery, it is crucial that those funds are channelled towards activities that support our transition to a greener economy. I will now discuss ECB Banking Supervision’s latest initiatives to ensure that banks adequately manage climate-related risks. This is our mandate. As I said earlier, this will also have the positive knock-on effect of inducing banks, and thus companies and households, to factor in climate effects when allocating funds. And this will help accelerate the reduction of carbon emissions – all the way to zero by 2050 at the latest. How ECB Banking Supervision is tackling climate risk Climate risk can affect banks through different channels. As I am sure many of you already know, the main risk drivers for banks are physical risks and transition risks. Physical risks include all those resulting from a changing climate, from more frequent extreme weather events and gradual changes in climate, to environmental degradation, such as air, water and land pollution, water stress, biodiversity loss and deforestation.