samchain/econo-pairs-v1 huggingface dataset:
That requires measures in various areas. In addition to the above-mentioned labour market reforms, human and technological capital improvements must also be made. In this connection, it is essential to improve the quality of the education system, adapting it to the challenges posed by globalisation, technological progress and the automation of tasks. Moreover, the presence of high and persistent profit margins in some sectors advises lowering the potential barriers to competition in such sectors. It would also be worth mitigating the effects of those factors that prevent growth of the most productive firms (chiefly, the regulatory thresholds linked to size). Finally, despite the progress made in recent years, the banking sector continues to face farreaching challenges, largely shared with other European financial systems. Spanish banks must firstly speed up the sale of their non-earning assets. These weigh down not only their profitability, but also their capacity to allocate resources to those economic activities that most contribute to growth. In addition, the reduction in non-earning assets originated before the European single supervisory and resolution mechanisms were established may bring us closer to culminating a Banking Union. Such a Union would then 6/7  allow us to address the need to pool macrofinancial risks within the euro area and to strengthen its governance mechanisms. That would make the European financial system – and therefore the single currency – sounder and more resilient to future financial shocks.

That leads to the third and final critical element of fraud avoidance: sound risk management and internal controls. Financial institutions must be able to effectively identify and assess risk across their entire organization and ensure that process are in place to ensure compliance with internal policies and limits, laws, and regulations. In addition to the systems controls and the segregation of duties I have already mentioned, financial institutions need to have effective physical control of assets, clearly defined authorization limits and exception processes, and comprehensive risk management reporting to management and the board of directors. After management and the board of directors, the institutions’ internal audit and compliance units should be the first line of defense in preventing and identifying fraud. Those are the key responsibilities for institutions in the fight against fraud; however, one of the Bank of Thailand’s key mandates is to ensure the safety and soundness of the financial system. An essential part of this is to make certain that each financial institution has an effective risk management system in place to identify, measure, monitor, and control the risks to which the institution is exposed. To assist financial institutions in their efforts, the Bank of Thailand has provided sound-practice guidelines to local banking industry in a number of important areas such as corporate governance expectations, operational risk management, operational loss event collection, and security of electronic financial services. We will continue to provide guidance to assist our institutions.
By working together in the short term to ensure a smooth transition and over the longer term to improve risk management practices for banks and develop a meaningful international capital adequacy framework, I am confident that we can be successful in not only preserving, but also enhancing, our global financial system as we enter the next century. 7  BIS Review 126/1999

In general, banking competition brings very positive aspects for the real economy and to welfare, and there is no doubt that liberalisation of the banking sector in Spain has been very positive for the country. However, we should bear in mind, as some chapters of the book point out, that too much competition may significantly increase bank risk-taking and that this may have negative implications and that  BIS central bankers’ speeches  1  this may undermine financial stability.1 The recent very intense competition for retail deposits may also be a notable example in this regard. Another important aspect of liberalisation has been the internationalisation of the banking sector, which is very well explained in the book. I would like to stress two aspects of this phenomenon: i) the foreign expansion by Spanish banks (particularly Santander and BBVA), and ii) the significant dependence on foreign liquidity (mainly through international wholesale markets), especially after the introduction of the euro.2 Expansion abroad, when it is well executed, definitely brings benefits in terms of geographical diversification, which have become clear during the crisis, however a reliance on funding from abroad may bring some fragility if that source of liquidity dries up, as the crisis has shown.3 In previous banking crises, banks typically suffered from runs on retail deposits, whereas nowadays these runs are wholesale-based.4 In the light of this, the sector should aim to diversify its sources of funding liquidity.
Therefore their quality, impartiality and timeliness are crucial for successful functioning of the economy of any country. In addition, the statistical indicators are also a basis for the comparative analyses with the economies of other countries and are essentially relevant for positioning of the economy, worldwide. Statistics in the National Bank The National Bank of the Republic of Macedonia is largely focused on the design and the development of the statistics. Two years ago, in the process of reorganization of the National Bank operations, a separate Statistics Department was formed that unites all macroeconomic statistics, previously processed in several departments. Its establishment constitutes a centralized organization of the macroeconomic statistics maintained by the National Bank. It ensures larger coordination, methodological conformity and consistence between each type of statistics. The National Bank of the Republic of Macedonia, together with the State Statistical Office are main institutions that prepare statistical data in the country.

Petar Goshev: Importance of the relevant statistical data for the market economy Speech by Mr Petar Goshev, Governor of the National Bank of the Republic of Macedonia, at the Statistics Symposium "Importance of statistical data in the process of creation of domestic policy and accession to the EU", Skopje, 4 October 2006. *  *  *  Importance of the statistics "Nothing is more important for monetary policy than good statistics" says the first President of the European Monetary Institute, Alexandre Lamfalussy, in the foreword of the publication "Statistical Needs of the Monetary Union" (1996). The relevance of this statement is known to all those who work at the central banks and are directly or indirectly involved in the monetary policy outlining and implementation. Even though, nowadays, the central banks operate in far more stable economic and political environment, they are aware that their capability of conducting a good policy, largely depends on the quality of their statistics. The performances of the complex economic models which have been developed recently and the capability of the policy makers to achieve the set objectives and tasks depend, more than ever, on the relevance of the information they get on the economy. Hence, the statistical data represent a key input in the macroeconomic policy making, including the monetary policy. They are an indicator for the performances of the economy and a basis for the adoption of current decisions, and at the same time they underlie the projections for the future developments.
They also pay little attention to the traumatic experience of the Asian financial crisis of 1997-98 and the natural inclination to build up ammunition, in the form of foreign currency reserves, ever since. After all, most of us are small, in terms of our economies and our political influence, and the reality of this world is that, when you are small, you are more likely to be tossed around. So we need to be more cautious in our finances. 6. We find ourselves being held, at least partly, responsible for the dilemma currently surrounding the global imbalance, which has been interestingly described as a "stable disequilibrium". The description begs the questions as to how long the disequilibrium will remain stable and whether the eventual adjustment path to equilibrium is likely to be an unstable one. The answers to these questions remain elusive. 7. This obviously is not a very comfortable position that we find ourselves in. One solution to this structural problem in Asian finance, at least to us in the HKMA, is greater Asian financial integration to promote the stability, integrity, diversity and efficiency of financial intermediation across jurisdictions in Asia. At the micro level, an obvious, non-controversial initiative that Asian jurisdictions support, although not necessarily for the same macro reasons that I have described, is the development of the domestic and the Asian bond markets, hence the EMEAP ABF initiative. BIS Review 79/2005  1  Asian Bond Fund 8.

Moreover, market participants interpreted the Fed’s revision of its monetary policy strategy as an indication that the Fed will continue pursuing an expansionary monetary policy for an extended period. This, along with expectations of a major fiscal stimulus package, supported investor risk sentiment and caused inflation expectations in the US to rise. What is more, in Europe, the agreement reached in July on the creation of an EU recovery fund led to a further decline in risk premia on sovereign bonds. Page 1/5  Zurich, 17 December 2020 Andréa M. Maechler  News conference  Overall, risk markets were able to benefit for considerable periods of time, despite the volatile market environment. There was some divergence between the US and Europe, however: While the leading US equity index, the S&P500, hit a new record high as early as the beginning of September driven by technology stocks, price developments on the major European stock markets were more moderate. Thanks to the rally in November, all major indices are up on mid-year. According to the latest reading, Switzerland’s SMI is up around 3% (cf. chart 1). On the interest rate markets, yields on long-term government bonds continued to reflect expectations of an ongoing low interest rate environment. Although yields on US Treasuries did trend upwards slightly overall in the second half of the year, 10-year US Treasuries continued to trade at historically low levels – around 0.9% according to the latest figures – following the marked drop in interest rates at the beginning of the year.
A fixed-rate, full allotment overnight reverse repo facility is a facility in which the Federal Reserve posts a fixed interest rate and accepts cash from counterparties, which include banks, dealers, money market funds, and some government sponsored enterprises (GSEs),  5  The Desk has been conducting operational readiness exercises for the use of reverse repurchase agreements since late 2009. At the most recent FOMC meeting last week, the FOMC authorized the Desk to begin another testing program which begins today. See the Desk’s September 20 announcement of the next round of testing. 6  BIS central bankers’ speeches  on an overnight basis in return for a security. If implemented, the facility would be “full allotment” – that means the facility would have no cap on the amount of funds accepted from any of its counterparties at the posted overnight interest rate.6 The repo facility is “reverse” because the direction in which the funds and securities move – participants are lending funds to the Fed rather than vice versa. Users of the facility are making the economic equivalent of an overnight collateralized loan of cash to the Federal Reserve. The amount of funds invested in the facility is likely to be sensitive to the posted interest rate. The higher the interest rate relative to comparable money market rates, the greater the participation is likely to be and vice versa. There are several reasons motivating our interest in developing such a facility.

First, we want to be assured that there are no glitches operationally with somewhat higher transaction volumes than in previous tests, that we can accept cash from a larger array of counterparties, post collateral in the tri-party repo system and reverse the transactions each day smoothly. Second, while the limited size of the operations during this exercise will prevent the operations from having a significant impact on market rates, we will observe how the facility impacts individual  6  During the testing phase, a ceiling will be placed on the maximum amount that can be invested per counterparty. BIS central bankers’ speeches  7  investor demand relative to other market rates. Additionally, we can see how sensitive that demand is to changes in market conditions such as quarter-end that increase the demand for safe assets. These observations will give us some insight into how the facility could affect the entire constellation of money market rates. Only by testing and learning will we be able to assess how best to use the facility. In conclusion, let me turn back to the economic outlook and the role of monetary policy. I do believe that we are making progress towards our objectives of maximum sustainable employment in the context of price stability. The economic fundamentals are improving and I expect that the healing process will continue in the coming months and years. At the same time, it is important to recognize that the financial crisis generated significant headwinds that are only slowly abating.
The difficulty is increased by the “neutral” real interest rate changing, for instance when the productivity growth in the economy changes. On the basis of experience, simple rules of thumb and rough calculations, everyone can per se obtain an idea of how monetary policy operates. However, this is another area that needs to be developed. Altogether, this review shows that monetary policy decisions can never be made mechanically with the aid of simple rules of thumb. In order to firm up the analysis and make it easier to describe the basis for our decisions, it is notwithstanding this important to describe and keep to a conceptual framework, around which we construct our analysis. As we gain increased knowledge, our analysis and conceptual framework are complemented or modified. In order not to lose clarity, we endeavour in our inflation reports, speeches and publications to describe our analytical apparatus and its development. Challenges in the present situation The growth prospects for the Swedish economy have improved considerably in recent years. The Riksbank has been successful in creating support for and making the inflation target credible, central government finances have improved and many structural reforms have been carried out, although much remains to be done. However, although for the most part, it looks good, there is a risk that the Swedish economy is now growing too rapidly due to over-optimistic assessments of growth prospects. This must in my view be taken into consideration in the conduct of monetary policy.

We cannot therefore benefit in the same way as the USA from there being unused resources in the rest of the world. Conclusions The Riksbank makes the assessment now that GDP growth will be over 4% this year and average over 3% during the next two years. This rise is taking place after a number of years with considerable growth. Despite this, inflation is low and is expected to remain so for the whole forecast period. We cannot with certainty determine the processes concealed behind the weak increase in prices. I drew the conclusion during the spring that we had probably underestimated the output gap, ie the amount of unused resources available in the economy initially and this is probably an explanation for the price increases being surprisingly low. Some productivity improvements and indications of shrinking profit margins in the economy as a whole also indicate that deregulations and increasing competition play an important role. I furthermore consider that the stabilisation-focused macropolicy and measures such as the tax reform have moreover increased the potential growth in the Swedish economy. The strong growth that the Riksbank - assuming an unchanged repo rate - calculates with, is slightly too low in my view. At the same time, I have a somewhat less optimistic appraisal than the majority of the mode of functioning of the labour market and competition in a number of markets in Sweden.
The issue is also of interest to the authorities responsible for financial stability. As standardised risk-transfer instruments develop, they are likely to come into wider use. So far, market participants have not properly identified or analysed the likely knock-on effects, whether direct or indirect. For this reason, there is a vital need for improvements in the prudential reporting and market transparency of these transactions; there is also a need for greater harmonisation of the rules and regulations applicable to institutions in different countries and to different types of company. The aim should be to record the risk where it is actually borne, both economically and financially. In addition, the authorities responsible for different financial sectors must coordinate their efforts to jointly identify where risks lie and to measure their extent. The Banque de France and the Commission Bancaire are working to that end with their counterparts in the insurance industry and the securities markets. 3.2  The future solvency ratio will better reflect the economic realities of banking risk  The finishing touches are being put to the solvency ratio, due to come into force in 2006. The new ratio will cover a broad spectrum of activities and risks, based on an approach tailored to the degree of sophistication of financial market participants, both in the G10 and beyond. From a prudential standpoint, the ratio will capitalise on the progress already made in improving risk supervision and control, while making it easier to compare methods at the international level.

This naturally impacted the financial health of the corporate sector, and business failure rates rose to levels comparable to those of the early 1990s. These economic trends, combined with the discovery of egregious shortcomings in corporate governance, fuelled misgivings about stockmarkets. And amid a global bear market, equity volatility soared. Consequently, as in 2001, capital market business in the broad sense of the term - securities, mergers and acquisitions, and the fees and commissions charged for these activities - were adversely affected. 1.2  Despite an unfavourable climate in 2002, French credit institutions reported net income on a par with 2001. French credit institutions reported net income of 17.7 billion euro in 2002, the same as in 2001. This works out to a return on equity of 9.4 per cent for the industry as a whole. As in previous years, these results were largely attributable to retail banking business in France. Consumer credit and home loans continued to grow, along with specialised financial services. In addition, falling interest rates had a positive effect on interbank business - which in France has always been significant - and drove down the net expense on these transactions. By contrast, capital market activities and asset management were hit by financial market turbulence, giving rise to substantial provisions in some cases. Furthermore, for the second year running, fees and commissions contracted as a percentage of net banking income, falling to 26 per cent compared with nearly 30 per cent in 2000.
David Carse: The way forward for banking sector reform Speech by Mr David Carse, Deputy Chief Executive of the Hong Kong Monetary Authority, at the American Chamber of Commerce Financial Services Committee luncheon meeting, Hong Kong, 9 April 2001. *  *  *  Ladies and gentlemen, The Hong Kong banking system is going through a period of unprecedented change. This is being driven by shifts in the competitive environment and by changes in the regulatory structure. I would stress that Hong Kong is not alone in this – what we are witnessing here is similar to the trends in other major banking systems around the world. Perhaps the changes have hit Hong Kong rather later than elsewhere. But the changes are now here and they are here to stay. This poses new challenges for the banks and, I would add, for the regulators. The purpose of this speech is to outline the current trends and how the HKMA is reacting to these through the introduction of a number of reforms of the banking sector. The underlying aim of these reforms is two-fold. First, we want to try to promote efficiency and innovation in the banking sector through removing barriers to competition. Second, we want to ensure that the safety and soundness of the banking system is maintained in an environment of increased competition and that there is adequate protection for depositors. Current banking trends These are long-term strategic objectives.

They have imposed rigidities and inefficiencies in the setting of deposit rates and have inhibited the development of new products on the liabilities side of the balance sheet. The removal of long-standing controls is not however an easy process, and may bring with it certain risks and drawbacks. From the banks’ point of view, the obvious problem is that they may have to pay higher interest rates, or interest for the first time, on the previously regulated deposits. The effect on margins will be exacerbated if deregulation leads to a price war with banks aggressively bidding for deposits. At this point, the banking regulator may also become concerned if it appears that the banks are neglecting the management of their interest rate risk and liquidity risk. This is obviously something that is a potential concern with the impending deregulation. But the banks have had plenty of time to prepare. Moreover, the current excess liquidity in the system means that the incentive to bid too aggressively for new deposits should be reduced. Having said that, some banks will no doubt see deregulation as an opportunity to expand their customer base, and will price their deposits with this objective in mind. This brings me on to the impact of the deregulation for consumers. There has perhaps been too much of a tendency in some quarters to see deregulation as something that would bring benefits for all. This was not the view of the HKMA.