samchain/econo-pairs-v1 huggingface dataset:
At MAS, we did not understand the risks and benefits of cloud technologies until we started to work directly with cloud service providers. Such collaboration helped us develop guidelines on cloud computing that facilitated its adoption by industry. 5/9  BIS central bankers' speeches  Take another example – blockchains. MAS participated directly in proof-of-concept trials together with industry players to test the application of this technology to inter-bank payments. We learnt much from the exercise. Second, regulation must not front-run innovation. Introducing regulation prematurely may stifle innovation and potentially derail the adoption of useful technology. MAS’ approach is to apply a materiality or proportionality test. This means regulation kicks in only when the risk posed by the new technology becomes material or crosses a set threshold. And the weight of regulation must be proportionate to the risk posed. Third, we need to allow experimentation to facilitate FinTech innovation while limiting its risks to consumers and the financial system should these innovations fail. The regulatory sandbox is a useful device to test new ideas in a confined environment. Several jurisdictions have introduced regulatory sandboxes over the last 12 months. Singapore was among the earliest, shortly after the UK. Let me outline briefly how the MAS sandbox works. The sandbox is available to both regulated financial institutions and unregulated FinTech players to test innovative products and new technologies. Firms entering the sandbox do not need to meet all the relevant regulatory requirements at the onset.

8 B. Boland, “M-Trends Asia Pacific”, www.fireeye.com, 24 August 2016, www.fireeye.com/blog/threat-  research/2016/08/m-trends_asia_pacifi.html  9/9  BIS central bankers' speeches
A related problem is that property prices and borrowing are occasionally driven by psychological factors. These factors are difficult to capture in economic models, as these are often based on the assumption that participants will act in a rational manner. Thus, central banks are often forced to think outside the box and also rely on judgement. There are also other challenges facing “leaning”. Firstly, the imbalance must be identified at a sufficiently early stage. Because of monetary policy lags, reacting too late can be counterproductive. Of course, one must also be sufficiently certain that unsustainable leverage building up, so that the upturn is not being driven by fundamental factors. Otherwise, a higher interest rate would hinder growth unnecessarily. Furthermore, the policy rate is a blunt instrument in so far as it impacts all lending in the economy. If imbalances in financial markets require a significant tightening of monetary policy, this could have severe negative effects on the rest of the economy. It can require decision-makers to make difficult choices and it is a tough challenge to communicate. In this sense, regulations have the advantage that they can be applied in a more focussed manner, which can mean that they can be applied more flexibly than leaning against the wind. At the same time, the very bluntness of the policy rate is one of its strengths compared with regulations. As the policy rate impacts the cost situation in the economy in general, it is difficult to circumvent it.

I will now go on to speak about some conceivable changes in the work on monetary policy, financial regulation and financial stability and – not least – the interaction between them. In addition to new thinking on policy and other issues, we also need to adapt our organisations and our governance to achieve optimum efficiency. The recent financial crisis provided additional input into the discussion on how the work on financial stability can become more effective and what instruments are appropriate in achieving this goal. Furthermore, having clearly proved that there are close links between monetary policy and financial stability, the financial crisis has revitalised the debate on whether central banks need to consider not only price stability but also financial stability when setting interest rates. Just a couple of years back, the common view was that since it was difficult to predict a crisis, a central bank should try to do no more than react forcefully when the crisis was already a fact. The main explanation of this reassessment is probably that the costs of a financial crisis – and hence the potential benefits of preventing a crisis – can turn out to be much bigger than previously thought. In my view, regulation and supervision remain the first line of defence in preventing unsound developments in financial markets. The financial crisis has clearly shown that there is an urgent need to reassess the regulation of the financial sector, in addition to strengthening the macro-prudential framework.
He is going to meet with an international team working on an essay about Warsaw Rising for a global writing contest, which they are going to place online. A journey from Poznan to Warsaw takes now only 45 minutes (compared with 150 minutes 20 years ago), so he doesn't need to hurry. And a return ticket costs as much as a cinema ticket, so he can pay for it from his own pocket money that his father transfers every month to his RFID payment card in his watch. He pays for the ticket by simply placing his wrist in front of the ticket terminal. Travelling has become so inexpensive as new cheap fuel was invented. John Global had the opportunity to work on this project ten years ago. At that time, he used to spend quite a lot of time in Hong Kong in the laboratory of a global fuel baron. Ever since, he has been frequently receiving lucrative job offers from Hong Kong (due to environmental pollution Hong Kong is becoming less attractive and Hong Kong-based companies try to compensate for this by offering higher pay). He occasionally accepts such offers, but he still spends most of his time working with experts in global networks. As a knowledge worker, he has no permanent job. He takes part in different projects on the basis of networking. These project are implemented not by specific companies (as was the case some 20 or 30 years ago), but by self-organizing networks of knowledge experts.

Please, take a look around you… I can assure you that there is more than one John Global in this room… I suggest that after leaving the room each one of us should take a moment to think what you yourself, as an individual, can do to start preparing today for a meeting with John Global in 20 years. And what can each of us individually do to make us share a vision so that we can become citizens of the world and master the fine art of capturing the benefits brought by the homo sapiens globalus society. Thank you very much for your kind attention and I announce the topic open for discussion. 2  Methods employed in European Commission’s survey to assess the services provided involve defining a five-stage framework to determine the level of services provided. STAGE 0 – Total absence of any publicly accessible website or lack of possibility to qualify the existing website to any of levels 1 to 4 (0% – 24% in the figure). STAGE 1 – INFORMATION – The information necessary to start the procedure to obtain this public service is available on-line (25% – 49% in the figure). STAGE 2 – ONE-WAY INTERACTION – The publicly accessible website offers the possibility to obtain in a non-electronic way (by downloading forms) the paper form to start the procedure to obtain this service (50% – 74% in the figure).
The asset management industry continued to grow well last year, with assets under management posting a 9% increase to reach $ trillion. Singapore will introduce a new corporate and regulatory framework to encourage fund domiciliation in Singapore and build up fund administration capabilities. MAS is working closely with the private equity/venture capital (PE/VC) industry to see how we can enhance financing for growth-stage companies, both local and from around the region. PE/VC financing has been increasing at a compound annual growth rate of 30% over the last 5 years. In the Renminbi (RMB) market, we are expanding two-way flows between China and Singapore. Besides Suzhou and Tianjin, Singapore has established cross-border RMB initiatives with the rapidly growing city of Chongqing. Corporates in Chongqing that issue RMB bonds in Singapore can fully repatriate the proceeds raised for infrastructure and other development projects in western China. We are witnessing a healthy volume of transactions now. In foreign exchange trading, we are working on electronification of the market. Digitisation, competition, and consolidation are rapidly transforming the global foreign  BIS central bankers’ speeches  7  exchange (FX) landscape. MAS’ focus is to position Singapore as Asia’s e-trading hub to build on our FX centre, which is already the largest in Asia. We are working with FIs and FX trading platforms to build relevant infrastructure such as matching and pricing engines that will anchor liquidity in our marketplace. In infrastructure finance, the focus now is on enabling capital recycling.

Mr. George discusses Britain in Europe and the economics of EMU Speech by the Governor of the Bank of England, Mr. E.A.J. George, at the Borsen in Copenhagen on 6/3/98. I am delighted to be here this morning, and to have this opportunity to meet with the Danish financial community. I would like to use this opportunity to explain to you something of the British attitude to Europe - as I see it - and in particular our attitude to monetary union. I am well aware that we British have something of a reputation for stubbornness about Europe. I should like to try to persuade you this morning that while we do have some - not wholly irrational - misgivings, we are nevertheless as anxious as anyone to see the project succeed. We have to be - it is clearly in our national interest that it should. Let me make clear at the outset that, of course, I recognise that monetary union is fundamentally a political issue. It necessarily involves some deliberate pooling of national sovereignty over important issues of public policy - monetary policy and overall fiscal policy - just as the single market involved the pooling of sovereignty over aspects of trade and competition policy and so on.
In my opinion, a balance must be sought between the structure of ownership of a credit institution in resolution and the origin of the public funds which may be used in the process, with home country fiscal authorities covering the majority of the proceeds, once the asset quality review has proven that host country supervision was carried out correctly and effectively. I hope that an appropriate solution will be found to this matter, the same as in the case of the concerns voiced by some non-euro area countries in the early stages of the Banking Union project. What I have in mind is the issue of the representation in the decision-making mechanisms and that of the contribution requirements in the event of their opting in the Banking Union. Both concerns have been addressed during the negotiations. Specifically, the unequal status of non-euro area countries in the single supervisory mechanism decision-making bodies – given their lack of representation in the Governing Council of the European Central Bank, even though they enjoy representation in the Supervisory Board – has been addressed by establishing a mediatory body which would intervene in case a decision of the Supervisory Board is overturned by the Governing Council. BIS central bankers’ speeches  5  Furthermore, the current decision-making setup of the Single Resolution Mechanism ensures equal treatment of the countries participating in the Banking Union, regardless of whether they are Eurozone countries or countries that have established “close cooperation”.

Such restricted access would effectively remove any distortions between the treatment of credit institutions that are domestic legal persons, but have majority Eurozone capital ownership (where access to euro liquidity may be done via parent banks), and the treatment applicable to banks which do not have capital originating in the Eurozone. Concluding remarks Summing up, it is my view that Romania should be part of all three pillars of the Banking Union – despite the sequenced manner in which they will inevitably come into being, all of them are required for the Banking Union to function effectively. I trust that adhering to this European project will strengthen financial stability, further increasing confidence in the national banking sector (through the harmonisation of supervisory practices and deposit guarantee schemes), as well as fostering sustainable lending and economic growth (by reducing fragmentation of European financial markets). My opinion that Romania should participate in the Banking Union may seem overly optimistic, but as a long-standing supporter of the European project, I believe that staying positive is the only way forward. Such an attitude was actually inspired by the many meetings I had over the years, in Frankfurt, Basel or Brussels, with some of the leading minds of Europe, among which Tomasso Padoa Schioppa, who said that “the crisis will possibly generate the means that are now lacking and get us closer to an accomplished Union”.
Early in the crisis, the PRA recognised that the significant change in the operating environment as a result of Covid-19, would cause some firms to experience a material change in risk profile. The UK market is particularly exposed to low interest rates which result in large increases in the risk margin for annuities. Recognising this, as well as the risks posed by the advent of Covid-19, the PRA invited firms to apply to recalculate their TMTP in light of significant changes in interest rates that occurred in March 2020. In any application for permission to recalculate  3  https://www.bankofengland.co.uk/prudential-regulation/letter/2020/letter-from-sam-woods-to-insurers-on-distribution-of-profits 3  All speeches are available online at www.bankofengland.co.uk/news/speeches  3  TMTP, the PRA expects firms to be able to demonstrate how the current environment has caused a material change in their own individual risk profile. The symmetric adjustment is explicitly aimed at mitigating undue pro-cyclical effects as a result of temporary movements in financial markets. It increases capital requirements when markets are buoyant relative to their historical average and reduces them when markets are relatively depressed. The chart plots the symmetric adjustment over time. As you can see from Chart 2, the symmetric adjustment was trending upward, while conditions were relatively benign and markets were rising. When the Covid-19 outbreak began, it decreased sharply. In this way, it led to insurers building capital buffers when markets were rising, and then allowed them to be released when markets fell.

  Finally, cyber criminals’ activity continued throughout the lockdown, whereas firms’ IT and cyber risk management staff had to adapt to the new way of working. Two principal methods used by criminals, phishing emails and malware, continue to rise. Many authorities have highlighted an increase in cyber risk7. We encourage firms to consider these risks carefully when starting to think about the transition out of the lockdown phase. The last priority I’ll touch on today is climate change. Addressing the financial risks from climate change is one of the Bank’s strategic priorities and last year we published expectations for firms to manage the financial risks from climate change8, which included expectations around governance, risk management, scenario analysis and disclosure. As well as having a named Senior Manager responsible for climate risks, Boards collectively need to understand the impact of climate change on their firm’s business strategy. Scenario analysis is a key tool that firms can use as part of their assessments of the impact of climate risks on their balance sheet and broader business strategy. It helps report relevant management information that will enable firm’s boards to discuss, challenge and take decisions relating to the firm’s management of the financial risks from climate change. Last year – for the first time – we included an exploratory climate stress test as part of the overall insurance stress test exercise.
Before moving to my next point, let me sum up some of the ideas expressed by quoting Alan Greenspan, who recently said: “Perhaps more critically, better risk management and the associated quantification have the real potential for reducing the wide attitudinal swings that are associated with the historical cyclical pattern in bank credit…” In a more general conclusion, I think that while the objectives of regulatory policies are different from those of monetary policy, the former should always be aware of the macro implications of their micro policies and the latter can clearly benefit from effective regulations that help ensure a safe and efficient financial system. 4. Procyclicality and the link between Basel II and monetary policy  So far, I have highlighted key features of Basel II which, in my opinion, will unambiguously tend to make the current terrain in which monetary policy operates a safer place. Yet in the course of the work  BIS Review 34/2005  5  conducted by the Committee and, especially, after the release of several consultative documents, there has also been lively and enriching discussion about several potentially negative side-effects of the revised capital framework. The issue of procyclicality, in particular, has attracted much attention.

Their economic capital is procyclical today and Basel II does  6  BIS Review 34//2005  not alter the calculation of economic capital; if anything it can help to promote cycle awareness. In this regard I tend to think that the role of regulatory capital is overstated and the degree of risk sensitivity of banks’ behaviour today is underestimated. Furthermore, the most abrupt and procyclical behaviour will probably occur in a poorly provisioned and poorly capitalised bank with inadequate risk management. In a downturn this bank will most likely encounter unpleasant surprises stemming from mismanaged risks and, lacking appropriate shock absorbers (provisions and capital), it will have little room for manoeuvre. The most likely outcome is an abrupt cut-back on lending, therefore contributing to exacerbating the cycle. I mentioned before the importance of risk awareness and early detection and reaction by banks. I will just emphasise here that these are also important elements for restraining procyclicality. On the supply side, I have already commented on the beneficial effects of higher transparency in the information released by banks, especially after accounting for the fact that lender-investor informational asymmetries could result in a lower-than-optimal level of funds available for bank lending. Pillar 3 will thus grease the wheels of the market for bank capital, building up capital providers’ and depositors’ confidence about the efficient use of their resources and easing the conditions under which banks may gain additional funding if required.
All of this can be summed up with two observations and one implication. The first observation is that the resolution strategy will govern decisions on MREL. The second is that TLAC can and will be applied for G-SIBs through the setting of MREL requirements. In other words TLAC is just one particular expression of how we will set MREL for firms where, as authorities, we are likely to face no choice other than bail-in in order to continue the firm’s economic functions. The implication is that there needs to be some level of disclosure about resolution strategies and liability structures at the legal entity level. Otherwise investors will not be able to price the risks they are exposed to. The Basel Committee intends to consult on new Pillar 3 standards for this purpose by the end of this year. This is welcome. But it is welcome too that banks are starting to do more to provide this kind of information to investors. 2  2  Bail-in is used here to cover imposing losses on creditors either through use of a bail-in tool or through a bridge transaction. BIS central bankers’ speeches  Let me turn to my second theme – the relationship between setting MREL and TLAC and resolution planning. The TLAC standard describes an end-point. Beyond proposing a conformance date of 2019 at the earliest, it does not describe how the standard will be implemented and what will happen in transition.

Zeti Akhtar Aziz: Sustaining Malaysia as a platform for international Islamic finance Address by Dr Zeti Akhtar Aziz, Governor of the Central Bank of Malaysia, at the Launching of HSBC Amanah Malaysia Berhad: "Sustaining Malaysia as a Platform for International Islamic Finance", Kuala Lumpur, 25 November 2008. *  *  *  It is my pleasure to be here today at this official launch of "HSBC Amanah Malaysia Berhad" (HSBC Amanah). This launch is significant in a number of respects. It reflects the continued expansion of Islamic finance in Malaysia , taking place at a time of great uncertainty in the glo bal financial system. The launch of HSBC Amanah, as an Islamic subsidiary of an international financial group, is also significant as it will contribute towards enhancing further the international dimension of Islamic finance in Malaysia, thus strengthening our international financial and economic linkages with other parts of the world. The Islamic subsidiary represents the transformation of the Islamic banking window operations into a dedicated entity that allows for greater strategic direction and drive of performance for the Islamic banking business. The advancement of the Islamic subsidiary institutions structure has the potential to further complement the goals of the group by providing an alternative model to spur the expansion of the banking business. It will pave the way for providing strong support in terms of capital, resources and operational infrastructure to elevate performance.