samchain/econo-pairs-v1 huggingface dataset:
•  There will be a greater rebalancing between the role of the public and private sectors in the economy, with the public sector activity focussed on providing the enabling environment to strengthen the role of the private sector in the economy. •  While large domestic corporations and multinational corporations will continue to be important in the economy, the role of the small and medium-scale enterprises will gain significance. •  Greater focus will be given to secure competitiveness on a more comprehensive basis in terms of other dimensions such as productivity and efficiency, labour quality, logistics, research and development, the delivery system and the supply chain. BIS Review 44/2004  1  Malaysia will also continue to leverage on our low country risks in terms of the political stability, industrial maturity and the supply of a skilled workforce. To promote endogenous sources of growth, greater focus has been directed at promoting greater private investment, including by the small and medium enterprises (SMEs). The financial infrastructure and incentive structure will continue to be enhanced to promote investment in new sub-sectors in particular, the services, agriculture and manufacturing sectors. On the external front, while there has been a synchronisation of growth among the major economies, there has also been some rebalancing of the relative strength of the growth among the economies. The increase in the expansion of world trade and the strengthening of labour market conditions in most of these economies suggest continued and self-sustaining growth.

Meanwhile, the Asian region has shown strong growth performance amidst robust intra-regional trade. This will be mutually reinforcing for the region in expanding the cumulative domestic market of the region and thus contributing to the overall growth prospects of the region. While growth remains strong, there are risks on the horizon. The recent moves to raise interest rates have however aimed to adjust the economic expansion to converge to more sustainable levels. Policies in a number of the major economies have now shifted from addressing a deflationary environment to a more neutral position that is aimed at removing the inflationary bias. This is in contrast to an anti-inflationary stance which would require aggressive tightening. On the domestic front, Malaysia continues to be highly integrated with the world economy in which economic and financial developments in our major trading partners will have implications on our economy. The strengthening of our economic structure, our financial system and our macroeconomic fundamentals, particularly since the Asian crisis in 1997-1998, has raised our tolerance level for absorbing volatility, enhanced our resilience to shocks, improved the agility to adjust to change and increased our policy flexibility to mitigate any adverse external developments on our domestic economy. Going forward, the strong growth in manufacturing and services sectors will continue to sustain growth. The prospects for higher consumption spending is also positive.
We are now aware of the importance of these issues and I am fortunate enough to have witnessed first-hand the work being done in all areas – governmental, regulatory and social – to mitigate this problem and build a more just and sustainable society. Because, as the scientists remind us, there is no time to lose. 26  In line with the conclusions drawn by other bodies such as the NGFS which show that the impacts in terms of GDP of taking no action or acting too late would be more negative than following the Net Zero Emissions by 2050 policy. ngfs_climate_scenarios_for_central_banks_and_supervisors_.pdf.pdf 27  https://www.bis.org/publ/bppdf/bispap132.pdf

Financial innovation and tax reform in major international financial centres have made sukuk largely comparable to conventional bonds. Apart from Islamic investors, sukuk are increasingly appealing to conventional investors as a way to diversify their investment portfolios. With such promising growth potential, developing Islamic finance would open up vast business opportunities and bring tremendous benefits to the financial services industry in Hong Kong. It would also help widen the range of financial products and broaden the types of market players here, adding to the breadth, depth and diversity of our financial market and consolidating our role as an international financial centre. Platform building for sukuk issuance 9. With this in mind, we have taken concrete steps over the past few years to build a conducive platform for sukuk issuance. Just last July, we have put in place a tax framework for common types of sukuk to level the playing field between sukuk and conventional bonds. 10. Generally speaking, sukuk are no different from conventional bonds in terms of economic substance, enabling issuers to raise funds while giving investors interestlike return. However, the more complicated structure of sukuk, which involves the setting up of a special purpose vehicle and multiple transfers of underlying assets, had led to additional tax liability for sukuk issuers. The tax law amendments have overcome this obstacle by removing the additional profits tax and stamp duty charges incurred in issuing sukuk as compared with conventional bonds. 11. With the tax framework in place, Hong Kong’s financial platform is ready for sukuk issuance.
This includes the banks’ deposits in the Riksbank overnight through the Riksbank's deposit facility and fine-tuning transactions in RIX, shown in the chart as MP debt (debt related to monetary policy transactions, see the Riksbank's Annual Report 2015). During the day, the banks have pledged assets and received liquidity in RIX. The average value of the collateral provided was SEK 112 billion during the second four months (see RIX four-month report 2, 2016). These are reported as funds in accounts in the chart. 4 If we look at the value of the payments between households, companies and a uthorities, it amounts to a total of SEK 14,000-15,000 billion a year, of which perhaps SEK 200 billion is in cash. In shops, almost one in seven payments is made in cash. More than half of the adult population has the Swish payment app. 4 [10]  the chart (Figure 1) and it shows clearly how cash in relation to GDP has declined substantially since 1950, when it comprised almost 10% of GDP, compared with around 1.5 per cent today. The blue line is the nominal demand for cash outside of the banking sector, that is, the cash held by companies, households and authorities. Demand from the general public has fallen from SEK 97 billion in 2007 to around SEK 61 billion today. This is a marked decline in just a few years. Similarly, the withdrawals from ATMs give some indication.

I understand those who may think that the whole idea of an e-krona sounds too much. But the fact is that Sweden has implemented a similar reform before, that is, digitalised financial assets. I am referring to our holdings of shares and other securities. Up until the 1980s, holding shares meant that one had pieces of paper, share certificates. But with the aid of technology and support of the law, shares are now held in accounts. However, the difference between the historical changeover from share certificate to account and the Riksbank's plans for an e-krona is that the Riksbank is not intending to abolish banknotes and coins, but is considering supplementing them with another service to the general public. We are also doing this for the people who do not have, do not want to have, or cannot have access to the current version of the payment system, so that they can also manage their payments safely and efficiently. Learning, problem-solving and new ways of thinking are what innovation is all about. This is what keeps us humans moving forward and I know that there is a lot of knowledge, power of initiative and innovating thinking gathered here today. I myself and the Riksbank will be open to your knowledge in this field. Thank you for inviting me here today. 10 [10]
The repo rate – is sometimes outside of the uncertainty bands The fourth standard figure in our Monetary Policy Reports and Updates refers to the forecast for the repo rate and the uncertainty concerning this (see Figure 8). There is an important difference of principle between the decision on the repo rate up to the next monetary policy meeting and the assessment of the repo rate path after that, that is, the forecast for the repo rate over the coming three years. We are careful to point out that the repo-rate path is “a forecast, not a promise”. The uncertainty bands shown in the figure are based on forecast errors for risk-adjusted market rates from 1999 to 2007 and after that on the Riksbank’s own forecast errors. The uncertainty increases as the forecast horizon lengthens, here, too. The figure shows, for instance, that the repo rate in three years’ time will with a 90 per cent probability be between 0 and 7 per cent. And there is a 10 per cent probability that it will be outside of this interval! The fact that the repo rate is sometimes outside of the uncertainty bands is illustrated by the forecast in September 2008 just before the financial crisis hit Europe and Sweden with full force (see Figure 9). The repo rate was cut over the following three quarters to a much lower level than the lower limit for the 90 per cent uncertainty band.

John C Williams: The economy in the time of coronavirus Remarks (via videoconference) by Mr John C Williams, President and Chief Executive Officer of the Federal Reserve Bank of New York, at the Buffalo Niagara Partnership, the Greater Rochester Chamber of Commerce, and CenterState CEO, 21 May 2020. * * * As prepared for delivery  Introduction It’s a pleasure to be able to join you all from my apartment in Manhattan. I sincerely look forward to the day when we can again meet in person. In a short period, our lives have changed in unimaginable ways: things that we took for granted— like eating at a restaurant, or going to a movie—are no longer possible in many places. For the first time in our lifetimes, governments around the world have had to take the extraordinary action of shutting their economies down. Those workers who continue to deliver essential services face very real risks, and my deep gratitude is with all those working in hospitals, law enforcement, transportation, and grocery stores. All essential workers have the thanks of everyone at the New York Fed. What started as a healthcare crisis has had profound consequences for the U.S. and global economies. We all know the incredible strain that New York City has been under, with numerous patients still being diagnosed with COVID-19 on a daily basis. But Upstate New York has also been deeply affected—not just by the spread of the virus, but also by the profound economic fallout.
Therefore, we need to recognize the unknown element, that is, we don’t know their full impact on the financial market and global economy. The latest review of the Financial Stability Board of potential unintended consequences of regulatory reforms pointed to these concerns. Emerging markets have raised some concerns about the Basel III capital and liquidity frameworks. These may have negative impact on domestic financial markets, increase banks’ cost, and thus reduce credit and financial market liquidity. In particular, the liquidity standard, which is not yet finalized, the calculation in the framework may not accurately reflect emerging market’s financial market, and the implementation could distort local financial market. There have also been concerns about the treatment of traditionally low-risk trade finance in leverage ratio which may impact growth and development. Emerging Asia is predominantly bank-based; thus, Basel III will affect its financial intermediation relatively more than in the West, just at the time when financial intermediation is critical to support economic development and integration. Some of these standards are still under discussion, and thus Asia-Pacific region already has a proactive regional strategy to help steer these regulatory reforms, such as through EMEAP forum, to reflect our economic and financial market context. With regard to the OTC derivatives reform which aims to move OTC derivatives trading on to exchanges and cleared through central counterparties. There are concerns regarding inconsistency of regulation between countries, infrastructure that is needed, and cost for users.

Muhammad bin Ibrahim: Beyond borders – bridging new horizons in Asia Pacific Speech by Mr Muhammad bin Ibrahim, Deputy Governor of the Central Bank of Malaysia (Bank Negara Malaysia), at the 5th Malaysia Insurance Summit “Beyond Borders: Bridging New Horizons in Asia Pacific”, Kuala Lumpur, 7 October 2015. *  *  *  I am delighted to join you today at the 2015 Malaysia Insurance Summit themed “Beyond Borders: Bridging New Horizons in Asia Pacific”. I understand that this is the fifth year the Malaysian Insurance Institute has organised this event which brings together insurance and takaful professionals from around the region and beyond to discuss key developments in the industry. Prospects of the Asia Pacific region The world is undergoing rapid structural changes amidst a rapidly evolving Asia Pacific as an important centre of growth. The International Monetary Fund has projected a growth of 5.6 per cent for the Asia and Pacific region in 2015 and 5.5 per cent in 2016, with the region expected to remain the global growth leader over the medium term. Growth is primarily driven by domestic demand of Asia’s 4.3 billion inhabitants who account for 60 per cent of the world’s population. The region is also expected to be the strong driver of world insurance growth, with its share of the global insurance market likely to rise to 40 per cent in the next five years.
While some progress has been made to address some of these weaknesses, there is still quite a bit more work needed in firms to achieve a robust risk reporting infrastructure. From a host supervisor’s point of view, significant improvements in MIS are necessary to demonstrate that firms have clarity about their businesses and risks and have the tools necessary to manage the risks both here and abroad. At the same time, the challenges in implementing effective MIS across a global firm are made more daunting by the complex legal and organizational structures of most firms today. As the financial crisis highlighted, risk reporting by business line alone isn’t sufficient to effectively manage a global firm. Firms need to be able to segment  2  BIS central bankers’ speeches  data not just by business line, but also by legal entity. Firms with simpler legal entity structures tend to be able to do this more readily on both an as-needed basis, but also on a more routine basis. Simplifying your organizational structure in the U.S. – and globally – would facilitate enhancements in MIS and risk reporting, while at the same time facilitating our understanding of your organization. •  Third, encourage and provide better access to key executives and directors. As I indicated at the outset, one of the enhancements we’ve made to our broader supervisory program is deepening our engagement and interactions with senior leaders and directors of the firms we supervise.

5” while the Federal Council, in turn, “is solely responsible for the economic decisions that fall within its area of responsibility.”  8  In 2010, members of the Governing Board appeared 13 times before parliamentary commissions. 4  BIS central bankers’ speeches  However, central bank independence has its pitfalls. A latent threat to such independence can, in principle, always be said to exist. This threat is particularly great in times of crisis. Consequently it was right and important, during the recent crisis, for central banks around the world to work closely with governments. However, the risk now is that false expectations have been raised amongst politicians. Central banks need to remain firm and concentrate on their monetary policy mandate. While it was necessary to be close to other government authorities at a time of emergency, now that the crisis has been confined, a little more distance is in order. As I outlined at the beginning, the SNB has also taken exceptional measures in order to fulfil its mandate. In doing so, it has shown that it is prepared to make use of the independence it has been granted. What is essential here is that we are always guided solely by our mandate when making our decisions. At the same time, we are continually analysing developments and constantly drawing conclusions with a view to our future actions.
Figure 11 Household debt as a percentage of disposable income Per cent 220  220 Scenario without measures  210  210  200  200  190  190  180  180  170  170  160  160  150  150  140  140  130  130 05  10  15  20  25  Note. Broken red line shows an estimate of developments over the next 10 years without further measures. Shaded area indicates a feasible lower limit for when the risks are elevated in the economy. Sources: Statistics Sweden and the Riksbank. We have also developed examples to broadly assess how different measures influence the development of household indebtedness, which can then illustrate what is required to help this indebtedness level out. Finansinspektionen’s proposal in the spring of an amortisation requirement means that new mortgage borrowers with loan-to-value ratios above 50 per cent must amortise 2 per cent of the loan per year down to 70 per cent, and then 1 per cent per year down to 50 per cent. 17  It is assumed in the debt forecast that rising interest rates between 2018–2025 will contribute to housing prices rising at a slower pace than the period 2005–2015. The development of housing prices is determined by a model in which price developments are determined in the long term by developments in households’ financial assets, disposable income and mortgage rates after tax. Debts are assumed to follow housing prices.

At that time it was inconceivable what we witness today: namely, that a couple of sunny days on the stock market are able to produce a gain in wealth potentially several times the size of an entire years' deficit or surplus in the current account. Thirty years later, the assessment of floating exchange rates is more differentiating. The system with all its advantages and despite its drawbacks is now firmly established and has even become increasingly widespread in the past twelve years. The number of countries which allow their currency to float more or less freely without a formal peg has risen from just over 30 to approximately 100. By and large, the experience gained with floating exchange rates may be summarised in two statements: First, the system occasionally generates large real exchange rate shifts that last longer than just a few days or weeks. They may extend over several quarters or even years, long enough to cause considerable harm to the real economy. Such distortions are not only observable in emerging economies but also between the currencies of the Big Three. One of the most spectacular distortions in the past decade was the rise and fall of the USD against the yen: Up 80% from April 95 to August 98, then down 31% until the end of 99. More recently, the longawaited appreciation of the euro in the past 12 weeks amounts to 13% against the USD and 20% 1  "THE CASE FOR FLEXIBLE EXCHANGE RATES", IN: FURTHER ESSAYS IN MONETARY ECONOMICS, CAMBRIDGE (MASS.)
We are ensuring that these earnings are reported using the strictest standards. In all likelihood, this trend – of lower but positive profits – should continue for the rest of the year. Third, our banks have regular sources of income. They are universal banks. This sets them apart from banks in some other countries that depend exclusively, or for the most part, on the financial markets. Our banks have sound and revolving sources of future profits. This is a vital asset at a time when it is difficult to raise capital by issuing shares on the market. Lastly, the “manoeuvrability” of our banks remains excellent and they are now ready to play their role in the possible restructuring of the international financial sector. These facts give me reason for confidence. Beyond the sometimes serious tensions and incidents that have affected the recent period, our banks may be justly proud of the progress in terms of productivity and innovation that they have made in the last two decades, which now positions them to cope effectively with turmoil that may occur in the future. 2  BIS Review 130/2008  Public policy during the crisis Over the past two weeks, we have witnessed a marked change in public policy with regard to financial institutions. Having hitherto been exclusively geared to providing liquidity, public intervention is now also aiming to support banks’ financing and own funds. This shift in stance is significant. The problem of liquidity remains crucial at this stage of the crisis.

Financial institutions’ capital moves in parallel with the price fluctuations of assets when these fluctuations result in capital gains or losses. The pursuit of a constant capital adequacy ratio (leverage) tends to reinforce this effect, by sustaining the demand for assets when their prices increase, and vice versa. The challenge for the authorities is to assess whether and to what extent the regulatory framework reinforces these dynamics. In other words, whether the financial regulations determined from a micro-economic viewpoint produce effects that impact the entire financial system. With these questions in mind, work is being undertaken to examine the impact of prudential standards. It is also on this basis that the accounting adjustments that I mentioned earlier have been made. More generally speaking, we will have to set up supervision systems that are more suited to economic developments. The need to develop a “macro-prudential” policy is now under debate. The general principle is straightforward, consisting in ensuring that supervision manages to limit risks for the stability not only of a particular institution, but also of the entire financial system. Its implementation, however, is complex. For the moment, we are only at a preliminary stage, contemplating which tools a macro-prudential policy could be based on, and how these tools could be used. As regards supervision, this crisis has shown the clear advantage in having the banking supervisor close to the central bank. This is a conclusion that is now shared by all central bankers, whatever the regulatory environment they are operating in.