samchain/econo-pairs-v1 huggingface dataset:
Tighter limits have been put on certain types of assets – such as mortgage servicing rights and tax-deferred assets – in which the values depend on a firm remaining viable, and that might not be easy to realize in the midst of a financial crisis. On the liquidity regime side, several major initiatives are underway. The Basel Committee has proposed a liquidity coverage ratio (LCR) requirement for globally active banks. In essence, this standard would require that large, internationally active banks hold sufficient short-term, liquid assets so that a bank could fund its operations for at least 30 days, without needing to borrow funds from the central bank. By creating a pool of liquid assets that the bank could sell or allow to mature, the liquidity buffer would buy time for the bank to explore options to restore market confidence. Such steps might include selling businesses and other asset dispositions, raising additional capital, or by making changes in senior management. The LCR requirement is being carefully evaluated to ensure that there will be no deleterious, unintended consequences when it becomes effective. Also, apart from the Basel initiative, supervisors are placing greater emphasis on liquidity. For example, in the United States, supervisors have emphasized the importance of adequate liquidity buffers and many banks have been pushed to bolster their liquidity resources through the supervisory process. Together, this emphasis on a greater quantity and higher quality of capital and larger liquidity buffers should make banks individually, and the banking system as a whole, more resilient to adverse shocks.

The moral hazard problems generated by banks being “too big to fail” are of course very important and we need to find ways to deal with them. But the nature of these problems is different from the one created by banks’ cross-border operations. Just because the biggest banks conduct foreign operations, it is not necessarily the foreign  17  The disagreement between Iceland, on the one hand, and the UK and the Netherlands, on the other, began in October 2008 when Landsbanki failed and was placed into receivership by the Icelandic Financial Supervisory Authority and the Icelandic government made clear that it would not compensate depositors in the UK and the Netherlands with Icesave accounts. The British and Dutch governments unilaterally decided to refund savers in their respective countries. Thereafter they entered into negotiations with the Icelandic government demanding repayment of the refunds corresponding to the EU guarantee. Still today no agreement has been reached. 18  It is a general phenomenon that firms with foreign operations tend to be relatively big and this phenomenon can be explained as the outcome of a selection process where only the most productive firms find it profitable to pay the sunk fixed costs associated with entering new markets through foreign affiliates (see e.g. Helpman, Melitz and Yeaple, (2004)). 20  BIS Review 82/2010  operations that are the problem.
Budget balance percent of GDP 2 0 -0.9  -2 -2.2 -2.9  -4 -4.2 -6  -4.8  -2.5  -0.3  -0.2  2013 - 2015 at MTO  -2.1 -3.3  -5.4  -8 -8.1 -8.8  -10 2005  2006  2007  2008  2009  budget balance ESA  Source: Eurostat  2010  2011  2012  2013  structural budget balance  2014  2015  2016  2017  primary budget balance  Figure 15. Current account balance - regional comparison  percent of GDP 10 5 0 -5 -10 -15 -20 -25 2008  2009 Romania  Source: IMF  2010 Bulgaria  2011  2012 Croatia  2013  2014  Czech Republic  2015 Hungary  2016 Poland  2017  Figure 16. Current account and FDI 8  Current account deficit and non-debt-generating flows  % nominal GDP  4 0 -4 -8  * Mainly European structural and investment funds ** Current account balance + Capital account balance  -12 -16 2005  2006  2007  2008  2009  2010  2011  Capital account balance* Current account balance  2012  2013  2014  2015  2016  2017  Direct investment, equity (including reinvested profit) Net lending (+) / borrowing (-)**  2018Q1 (4Q moving average)  Source: NBR 12  Structure of FDI (%)  EUR bln.

From an investment perspective, the volatility in the Asian markets in recent years has allowed long-short and other strategic plays to outperform regional indices. The relative inefficiency of the regional markets also presents arbitrage opportunities. From a demand standpoint, US and European investors are expected to turn to alternatives in Asia as capacity (and quality) in their home markets diminish. Further, the improving economic climate in South East Asia should help foreign fund managers and investors to refocus their attention on the region. Hedge funds look set to play a larger role in Asia. The role of hedge funds in Singapore In Singapore, hedge funds form part of the expanding menu of products offered by the asset management industry. This industry grew rapidly over the last ten years: assets under management increased eightfold from just over $ billion in 1992 to more than $ billion last year. For the reasons mentioned earlier, asset managers and investors alike are finding a place in their overall strategies for alternative investments including hedge funds, commodities and real estate. (Of course, judging by concerns about Singaporeans over-investing in property, one wonders whether real estate can indeed count as an alternative investment here.) That aside, hedge funds can contribute to the development of Singapore as an international financial centre in a number of ways. First, as evidenced in other major financial centres, hedge funds can attract a mix of supporting professionals such as fund administrators, prime brokers and product specialists skilled at structuring new instruments.
International policy coordination, harmonisation and the consistent application of implemented instruments are vital to ensure effectiveness and limit the possibility and impact of adverse cross-border spillover effects 25. The potential spillover of nationally implemented macroprudential policies largely depend on the degree of financial cycle synchronisation, especially within the highly integrated (economically and financially) states, as in the case of the European Union, or even more so within the currency union members with a single monetary policy. Several aspects of the potential spillover should be considered when formulating the policy stance in a highly integrated environment that challenges us in pursuing financial stability. Outward cross-border spillovers of systemic risk create a need for countervailing macroprudential measures, clearly emphasising the need for policy coordination and measure reciprocation. In contrast, inward spillover effect is a direct consequence of the regulatory arbitrage that motivates internationally operating financial institutions to seek organisational restructuring that minimizes regulatory costs. The issue of converting subsidiaries into branches has recently attracted a lot of attention, as some member states are actively trying to reduce this risk, 26 alongside international efforts directed towards formulating a framework for voluntary cross-border reciprocity 27.

This has produced asset bubbles and large exposures of banks from core euro area countries, as well as world-wide creditors, towards the euro area periphery, and created strong contagion channels that have increased the amplitude of swings in comparison to historical business cycles. Such a phenomenon has in quite a few instances also been observed outside of the euro-area, regardless of the exchange rate regime implemented, which brings me to the discussion of challenges in finding an optimal policy mix in a small open economy. 2. Mutations of the traditional monetary trilemma: policy responses in open economies or “Ray in European clothing”  According to the newly emerging set of principles, this dual central banks’ mandate is supposed to function via two independent sets of policies. As real and financial cycles diverge, central banks need a set of two independent policies. 11 Monetary policy should target the real cycle in order to stabilize inflation, while macroprudential policy should be used to tame the financial cycle. The task of maintaining price stability and financial stability should be even easier if central banks adopt a flexible approach to inflation targeting, the one that allows for temporary deviations and the gradual convergence towards the inflation target, as pointed out by Stanley Fischer (2010) 12. Such a simple story of two independent policies – monetary and macroprudential – aiming at two separate goals, has some weaknesses. Such a framework is underlined by the traditional monetary trilemma theorem launched by the Mundell-Fleming model.
This is no easy task even if there is every indication that they will continue to be low for the foreseeable future. We must remember, however, that history has also taught us how economic development can sometimes take unexpected twists and turns. Future challenges The global real interest rate continues to be low I have mentioned a few different possible reasons for the downward trend in the global real interest rate – demographic factors, lower growth and higher demand for safe assets. These factors will probably continue to exert an influence in the period ahead, with lower interest rates as a consequence. In such a case, this  8 See Hansen (1938). 9 See also Bernanke (2015) and Rogoff (2015) for additional arguments that can call the theory of secular  stagnation into question. 10 See Yi and Zhang (2016). 10 [23]  would also be in line with pricing on the Swedish financial markets. The market pricing of the overnight rate five years ahead is around 1 per cent, which indicates that the policy rate will continue to be low (see Figure 6). Market participants’ expectations of the policy rate as expressed in surveys indicate similar levels (see Figure 6). Figure 6.

Several years ago, most major investors were investing in Asia but based thousands of miles away. Today, many investors are realising that a ground presence in this time zone is necessary. The rapid structural changes of economies in Asia, the differences in the stages of economic development, in political systems, regulatory regimes and corporate governance standards mean that investors must not only understand the differences within Asia, but they have to be able to respond to swift changes in outlook, and to take into account ongoing structural changes in their assessments. In short, the ability to distinguish noise from trend is essential. Having the right risk mindset 14. Apart from responding to policy reforms and initiatives, investors and financial institutions will do well to continuously rethink and challenge the fundamental tenets of their investment and risk management tools and methodologies. To do so, it is imperative for investors to have the right risk mindset. 15. We should put once-neglected risks, such as counterparty credit risk, model risk, liquidity risk and technology risks, at the forefront of risk considerations. We have to be  BIS central bankers’ speeches  3  mindful that falling back on historical experience may not necessarily provide the guidance especially when developments are unprecedented. In this regard, boards of financial institutions play a vital role in driving the level of risk consciousness in their institutions and exercising effective risk management oversight.
Progressive development of Islamic finance in Malaysia As part of the strategy to sustain balanced economic growth, Malaysia has developed Islamic finance as one of the sectors that not only adds value to the economy but offers an alternative to businesses and the public. Our approach has been holistic, yet focused on specific outcomes. The focused approach has led to the exponential growth of the industry and contributed towards the diversification of the Malaysian economy. The future and continued progress of Islamic finance in Malaysia would very much depend on the industry resourcefulness to build and maintain an innovative, competitive and inclusive Islamic financial industry. Empirical evidence shows the importance of an enabling environment for Islamic finance to fluorish, with tax incentives, business-friendly policies and initiatives, as well as an appropriate and robust regulatory and supervisory framework. It is these ingredients that enable Islamic banking assets to consistently record double-digit annual growth rate since year 2000 and now representing 25% of domestic banking assets. In terms of customer base, it is estimated that non-Muslims make up over 50 percent of the customer base of Islamic banks in Malaysia. Growth numbers are also most evident for the Islamic capital market, with the sukuk market commanding a 57 percent market share and attracting global issuers and investors. From 2006 to end-2014, foreign issuers have issued sukuk amounting to an estimated RM28 billion in various currencies – US dollar, Yen, Renminbi and Singapore dollar – in the Malaysian marketplace.

As with the Arthurian legends, epitomised by King Arthur’s Round Table above us, that too is a myth. Despite large changes in relative prices, the average change in prices – inflation – has been remarkably stable. Indeed, it is striking that in a decade in which prices moved so much, overall inflation was more stable than in any decade for a hundred years. It was a decade that in my first speech as Governor, I described as NICE – a non-inflationary consistent expansion. 1 How can inflation be stable when individual prices move around so much? The explanation is that inflation is the result, in the old adage, of too much money chasing too few goods. Inflation arises when the total amount of money spending (or nominal demand) in the economy is greater than the value today of the available goods and services. When the Bank of England changes Bank Rate to keep consumer price inflation close to the target of 2%, we influence – albeit imprecisely and with a time lag – the amount of money spent in the economy and so the inflation rate. In short, inflation is made at home. Nevertheless, we cannot and do not control the price of every item in your shopping basket. That distinction between changes in individual prices and changes in the average level of prices is  1  Speech at an East Midlands Development Agency/Bank of England Dinner in Leicester, October 2003.
Elisabeta Gjoni: Role of money in wartime Opening remarks by Ms Elisabeta Gjoni, First Deputy Governor of the Bank of Albania, at the Second Conference of the Museum of the Bank of Albania, Tirana, 20 September 2018. * * * Dear guests, participants, researchers, academics, numismatists, collectors, students, Welcome to the Bank of Albania! It is a special pleasure for me to open the proceedings of the Second Conference of the Museum of the Bank of Albania on “Role of money in wartime”. The rich collection of coins and banknotes and other items exhibited in our Museum becomes more meaningful when supported by the historic background of the period of the country of issue. The organisation of this Conference, an annual one, contributes to the both the historic and educational role of the Museum. This conference is also an excellent opportunity to share experiences with representatives of the main institutions of culture in Albania and museums of central banks and other prominent foreign institutions in this field. I am happy to see in this room both old and new collaborators, whom we wish to be “permanent consultants” of the Bank of Albania. We aim to create and cultivate a solid and productive relationship with the best experts in numismatics, museology, cultural heritage and research. Dear participants, Today’s presentations will address the mutual, complicated and multi-dimensional relation between money and war. Wars have had an impact on the economy and development of human kind from the birth of civilisations to modern times.

As ORSE's report on corporate ethics, responsibility and strategy1 quite rightly reminds us, "Corporate ethics is not built on obedience, but on engagement and discernment". Employees must be able to identify ethical "grey areas" even when their manager or clear rules are not available. If ethics are to permeate corporate practices, they must form an integral part of HR policies and structures. For example, during selection procedures for external recruitment or internal promotion, particularly for management positions, the integrity of candidates during their career should be seriously assessed and taken into account. Ethics in themselves have value. Good performances can neither excuse nor compensate for questionable ethical behaviour. Results obtained at the expense of ethical standards should not be rewarded. On the contrary, they should be penalised in order to send the right message with regards to expected behaviour, including from the managers of the employees concerned. Diversity within teams, and particularly management teams, should be encouraged. Experience shows that diversity – in terms of gender, social background, education, thinking – is a factor in risk prevention. An overly homogeneous group does not debate, loses critical thinking and as a result takes more risky decisions. At a time when technical processes and compliance procedures are becoming 2/3  BIS central bankers' speeches  increasingly complex and favour dialogue between human and machine, direct human contact should once more be given the importance it deserves.
And for those who have, I am sure that it has been a rewarding and enriching experience. I myself had the wonderful opportunity to work in MAS’ NYO for about 4 years, and today, I strongly urge my young colleagues to consider a posting overseas. 17. In your own capacities, you can contribute significantly to mentoring and advising professionals in the financial sector, sharing with them your own personal experiences of how you have overcome challenges, and flourished from such opportunities. Overseas postings need not be a daunting and alienating choice. It can be an enriching opportunity, not just for the professional, but his/ her loved ones and family. 18. Another area where I see tremendous opportunity for FWA is in helping women in the financial sector better balance between career and family. It is not uncommon for women to take time off after having a baby, especially in the early childhood years. Increasingly, we have to also take longer periods of time off for caring of aged parents. Re-assimilation into the workforce will be an increasing challenge, given the fast evolving pace of the industry and the winds of change brought on by technology. 19. MAS, together with NTUC, ABS, IBF, the Singapore Workforce Development Agency (WDA), will launch a Financial Industry Career Advisory Centre (FiCAC) in April that will provide guidance to those keen to join the financial industry as well as those looking to move to new jobs within the industry. FiCAC will also organise talks on job opportunities in the financial sector.

My views are also shaped by personal experiences building my career in MAS, the challenges and trade-offs that I have had to strike in balancing family and career, reflecting on what would have been helpful for me then, and considering what can make a meaningful difference for the professionals in our sector today. 15. Firstly, in encouraging a broadening of horizons via overseas postings. Over the years, business leaders have consistently given feedback that our promising finance sector professionals lack regional and international experience and that Singaporeans, in particular, display greater resistance in taking on such assignments. In an international financial centre like Singapore, the exposure gleaned in this part of the learning journey is extremely useful and important for progression to the higher rungs of the corporate ladder. This is because overseas exposure provides the breadth of perspectives expected of global and regional management roles. This dilemma unfortunately affects women to a greater extent, as many have chosen to or may have felt the need to turn down these opportunities due to family commitments, spouses’ careers, or children’s education needs. How can we encourage more to embrace these opportunities, and better balance competing priorities? 16. It is never an easy decision – and that is where a support network such as FWA is valued. I do not know the percentages, but I would hazard a guess that many of you have had overseas stints, be in in the region or beyond.
One ideal, for example, is in achieving zero recipient of Zakat, which had been among the key achievements of Khalifah Umar bin Abdul Aziz r.a during his 2-year reign from 717-720 M. The Islamic finance sector indeed still has some way to reach its full potential based on these values to fulfil contemporary economic and social needs. Today's Islamic finance ecosystem has yet to match the idealism of Islamic finance vanguards as expressed by Professor Dr. Muhammad Nejatullah Siddiqi who emphasised the concept of justice and morality, in accordance to maqasid al-syariah. I quote from him, "More than anything else, Islamic banking and finance, a sub-culture of Islamic economics, has been a quest for justice and morality into the ordinary business of life." Therefore, new initiatives are needed to empower and advance the Islamic finance system by emphasising on the principle of driving growth, wider participation, and equitable wealth distribution, and not only focused on company and conglomerate profits7. Ladies and Gentlemen,  3/4  BIS - Central bankers' speeches  With that, I wish you a productive forum ahead. Thank you. 1 Bank Negara Malaysia 2 The Malaysian Reserve 3 League Table 2021 4 ICM, Securities Commission 5 MIFC 6 Survey conducted among 50 financial institutions which comprise of diverse  organisation type including, but not limited to, asset management firms, commercial banks, Islamic banks, and development financial institutions. 7 2023 Budget speech, https://budget.mof.gov.my/pdf/belanjawan2023/ucapan/ub23-BI. pdf  4/4  BIS - Central bankers' speeches

Increasing this share can lower costs associated with cash handling for both businesses and the economy, creating a virtuous cycle for affordable remittance services. Project Greenback Kota Kinabalu As one chapter comes to an end, another begins. In continuation of our efforts to encourage ongoing positive developments in the remittance market, Bank Negara Malaysia and the World Bank are pleased to take the Project Greenback partnership to Malaysia’s second remittance champion city – the city of Kota Kinabalu. On behalf of Bank Negara Malaysia let me thank Y Bhg. Datuk Juanis Solidau for his presence here today to mark the handover, and to Dewan Bandaraya Kota Kinabalu for agreeing to host the project. We are very excited about the prospect of bringing the project to Kota Kinabalu, which will offer the opportunity to apply successful lessons from Johor Bahru, and also new and different experiences to build on. This will include a focus on supporting e-remittances given the large number of migrant workers staying in remote areas. Conclusion As the Chinese philosopher Lao Tzu famously said “A journey of a thousand miles begins with a single step.” We are extremely grateful to the city of Johor Bahru for enabling us to take the first step in this Greenback experience. We now look forward to the next step on this journey which 3/4  BIS central bankers' speeches  will take us to Kota Kinabalu.