samchain/econo-pairs-v1 huggingface dataset:
Referring again to the Global Competitiveness Index, Albania is ranked the 90th as regards the level of education and high-level training, and only the 109th and 126th respectively at the level of business sophistication and innovation. These vulnerabilities will ever-increasingly become an obstacle for the country’s economic growth in the future, unless addressed on due time. Public reform in the education system and the need for more backup funds should be a priority of every development policy. On the other hand, I consider that the Albanian business can and should do more for supporting the Albanian education. First, the business can and should be more supportive to higher education institutions, at the same time cooperating with them in the area of market research and student training. The economic development history shows that the countries, which have invested in education, are currently in the group of most developed countries of the global economy. Second, I think that more efforts should be made in attracting and absorbing the brain in the administration and management of your businesses. Investing in education, in enhancing professionalism and expertise, is the best investment we can make for the future of our country. Parallel to this, the enhancement of our development infrastructure should be a priority issue. Beyond the road infrastructure development, which rightly is a priority of the public sector, the Albanian business can and should do more in this regard.

The increasing interaction with the banking system would help to clarify your plans and reduce the financial risk, providing you with the opportunity to focus on business risk administration you are specialized in. Completing my discussion related to stable development of the country, I would like to underline that the banking system can and should do more in this respect. The financial system is the brain of a market economy; it determines the expected return and risk of investments in the economy, enabling later on the prioritized use of limited financial funds. Despite its good performance, the Albanian banking system should do more to incorporate macroeconomic and sectoral analyses, and also the country’s financial stability in decision-making. The development of research units within large banks is actually a requirement of the time we are living in. Moreover, more efforts should be made, to increase the support of small and medium-sized enterprises with  4  BIS Review 158/2009  funds. In addition, a more aggressive marketing of derivative instruments, which will lower the corporate financial risk, particularly of those operating in the export sector, requires a greater attention from the banking system. What I just mentioned will be an important part of the future philosophy of the Bank of Albania in the field of structural reforms in the financial market and in developing and advancing its supervisory and regulatory function in it.
Also contributing to the growth opportunities for risk products is the growing preference among the more sophisticated consumer segments for unbundled investments and protection solutions which offer greater flexibility with investment choices, without affecting protection levels. Amidst these prospects and as the financial services industry transitions to a more deregulated and market-driven environment, the regulatory and supervisory approach will continue to evolve into one that is more principle and risk-based, providing greater operating flexibility to insurers. In this regard, the proposed risk-based regulatory regime which includes the new risk based capital framework that is going to be introduced in due course is a move in this direction. This would further strengthen the incentives for improved risk management practices of insurance companies. The new requirement would also facilitate more efficient capital structures that are more reflective of the different risk profiles of individual institutions, whilst providing greater investment flexibility to insurers without compromising on prudential standards. Such insurance companies would be well-positioned to reap the opportunities abound in the insurance market place. Under this risk-based regulatory regime, the responsibility for the implementation of sound risk management and market conduct governance, as well as assessment of risks and management of the financial condition of an insurer, will increasingly rest with the Board of Directors and Senior Management of the insurer. This will ensure that the financial system is able to continuously adapt whilst maintaining a clear focus on sound risk management that will continue to be a critical pillar to support a resilient insurance industry.

Philipp Hildebrand: The global financial crisis – analysis and outlook Summary of a speech by Mr Philipp Hildebrand, Vice-Chairman of the Governing Board of the Swiss National Bank, at the NZZ-Podium, Zurich, 5 February 2009. The complete speech can be found in German on the Swiss National Bank’s website (www.snb.ch). *  *  *  We are currently experiencing the most severe and most complex financial crisis in several decades. It has affected many people around the globe, and finger-pointing and casting blame happen all too easily. Yet only a careful investigation of the responsibilities is likely to point to ways in which our financial system, and ultimately our economy, can be made more resilient once this crisis has been overcome. Financial markets react to incentives, and these incentives were misplaced in the past. It is in our power to start lobbying for clearly defined and risk-limiting conditions. If the responsible authorities wish to enact more stringent regulation, we ought to give them our unconditional support. The National Bank is determined to employ all the means at its disposal to ward off an economic contraction. BIS Review 12/2009  1
Many papers have been written recently that show what may be the consequences of the scenario in which the financial markets - in view of no adequate measures undertaken by economic decision-makers - initiate adjustment processes by themselves 16 . If the financial markets start pricing in higher risk premium for American debt securities, the outflow of capital from this market - or even decreased capital inflows - may lead to a fall in bond prices, i.e. to a sharp increase in long-term interest rates, a slowdown on the property market, depreciation of the dollar and, consequently, stagnation or even recession, which may be observed globally. In order to mitigate the probability of such a scenario, structural reforms should be implemented in many countries. The USA should substantially reduce its budget deficit and - via a reform of the pension system - increase the household savings rate. In the EU and Japan a series of structural reforms should be accelerated to raise the flexibility and competitiveness of the labour and product markets . In the Asian countries, and first of all in China, the exchange rate regime needs to be made more flexible, which should be preceded by reforms that would strengthen the financial system, also via a greater openness to foreign capital inflows. At present, it is difficult to assess the likelihood of the scenario involving a serious slowdown in the global growth; nevertheless, implementation of necessary reforms is proceeding slowly.

Before I move on to the other aspect of globalisation, let me repeat that I understand globalisation as a progressive process of international integration of national markets of goods, services, capital and knowledge. In practice, this means higher levels of trade and higher inflows of foreign investment,  11  For example M. Chinn “Getting Serious about Twin Deficits”, working paper, The Bernard and Irene Schwartz Series on the Future of American Competitiveness, CSR No. 10, September 2005. 12  This hypothesis has been proved in: J.Aizenman, J.Lee “International Reserves: Precautionary vs. Mercantilist Views, Theory and Evidence”, IMF Working Paper WP/05/198, October 2005; and M-A Gosselin, N Parent “An Empirical Analysis of Foreign Exchange Reserves in Emerging Asia”, Bank of Canada working paper 2005-38, December 2005. 13  See R.Caballero et al. “An Equilibrium Model of Global Imbalances and Low Interest Rates”, MIT mimeo, September 2005. 14  C.Engel, J.Rogers “The U.S. Current Account Deficit and the Expected Share of World Output”, NBER working paper 11921, January 2006. 15  See footnote no. 2. 16  Examples of such estimations can be found in: S.Edwards “Is the U.S. Current Account Deficit Sustainable? And if not, How Costly Is Adjustment Likely to Be?”, NBER working paper 11541, August 2005; N. Roubini “Global Current Account Imbalances: Orderly or Disorderly Rebalancing?”, New York University Working Paper; M. Obstfeld M, K. Rogoff “The Unsustainable US Current Account Deficit Position Revisited”, prepared for 12-13 July 2004 NBER conference on G-7 Current Account Imbalances: Sustainability and Adjustment; H. Faruqee et al.
4 / 14  BIS central bankers' speeches  The first one relates to the sharp depreciation of the euro in the run-up to the announcement of the APP. As you can see on slide 4, a simple model-based analysis suggests that a large fraction of the decline in the euro’s external value reflected the worsening economic outlook, to which we ultimately reacted. It is likely that exporters to the euro area, faced with falling euro area demand, absorbed part of the exchange rate movement in their mark-ups to protect their market shares, thereby mitigating the upward pressure on prices stemming from a weaker currency. The second example relates to the current situation. Slide 4 shows that there are three forces, of roughly equal strength, that help to explain the euro’s marked appreciation in recent months: improved euro area growth prospects, an exogenous component and a tightening in the relative monetary policy stance vis-à-vis the United States. 5 / 14  BIS central bankers' speeches  Slide 5 illustrates the implications of this shock decomposition for the assessment of the exchange rate pass-through. The black line, which is the net effect, suggests relatively mild downward pressure on core inflation, much below what the rule of thumb would tend to suggest, despite the sizeable appreciation. The reason is simple. The current solid economic expansion in the euro area allows firms that export to the euro area to increase prices in their currency without losing market share, thereby mitigating, once again, the pass-through.

This means that, compared with past demand shocks, policy will remain more accommodative for longer, thereby likely muting further the pass-through of any growth-driven exchange rate appreciation. And with the current recovery in the euro area being largely driven by domestic demand, euro strength may also have less of an impact on growth than, for example, after the Great Financial Crisis. All of this suggests, therefore, that monetary policy never acts in isolation on the exchange rate and that, in periods of recovery, the positive confidence and stimulus effects of monetary policy are likely to offset, at least in part, the disinflationary effects of a stronger currency coming from expectations of tighter policy. Of course, this also means that should the contributions of the different shocks driving the exchange rate change over time, then also our assessment of the impact on inflation will have to change – expansion or not. Exogenous shocks to the exchange rate, if persistent, can lead to an unwarranted tightening of financial conditions with undesirable consequences for the inflation outlook. As shown on slide 6, the emerging disconnect between the euro’s exchange rate vis-àvis the US dollar and the long term interest rate differential between the US and Germany may suggest that we are entering such a situation. Against this background, the recent volatility in the exchange rate represents a source of uncertainty which requires monitoring.
I should recognise at this point the debt I owe to my colleagues Jack Meaning and, in particular, Alberto Polo, who helped me with the simulations of this model. The past couple of weeks have been a busy time for me with the MPC: I would not have been able to complete this work without their considerable help. Charts 1 and 2 illustrate the advantages of difference rules over level rules in this set-up. When restricted to simple forms and optimised, a difference rule performs better than a level rule in stabilising inflation and lowering social losses. This is true however much weight is placed on output gap stabilisation relative to inflation stabilisation – in other words, for all values of ‘lambda’ in standard policy evaluation exercises.24 And – at least in our setup – it is true even as the importance of the persistent shock to the starred variables relative to the temporary shock diminishes. The intuition behind the result is as I have discussed. If monetary policy decisions are based on a mis-interpretation of the shock driving R-star, then the difference rule is more ‘forgiving’ of those mis-perceptions than the level rule, and less noise is introduced into the system as a result. This is illustrated by the impulse responses shown in Chart 3. These show the evolution of model variables following a risk premium shock that lowers R-star persistently, but is believed by policymakers, firms and households to be temporary.

Macroeconomic Outlook and Monetary Policy in Turkey Remarks by Murat Çetinkaya Governor Central Bank of the Republic of Turkey at J.P. Morgan Turkey Macro and Credit Conference London  9 February 2017  Dear Participants, My speech will try to elaborate on the recent macroeconomic outlook, monetary policy framework and the coordinated policy actions to support the fundamentals of the Turkish economy. 1. Macroeconomic Outlook Turkish economy was hit by concurrent shocks in recent years. Geopolitical tensions, global shocks, security related issues and a failed coup attempt have created significant policy challenges. Despite the intensity and size of the shocks in recent years, the growth rate has been quite robust until recently, outpacing emerging market average by a large margin (Figure 1). The resilience of growth in recent years can be attributed to factors such as prudent macroprudential policies reducing the sensitivity of economic activity to capital flow volatility, dynamic domestic market, market flexibility of exports, and the fall in energy prices. Figure 1. Growth Rates in Turkey and Emerging Economies (Percentage Change, Annual) 12 10 8 6 4 2 0 Developing Countries excluding China and India Turkey*  -2  12.16  09.16  06.16  03.16  12.15  09.15  06.15  03.15  12.14  09.14  06.14  03.14  12.13  09.13  06.13  03.13  12.12  09.12  06.12  03.12  -4  * Forecast for 2016 Q4.
To banks, we urge you to embrace fintech, and join the CDI platform. To data providers, we invite you to contribute meaningful data, such as logistics data and procurement data between buyers and suppliers, to enrich the types of data available. To SME owners, we encourage you to contact your bank and understand more about CDI. Together, we can take Hong Kong’s data ecosystem to new heights, and ultimately contribute to bridging the global trade financing gap. 15. The benefits of a more digitally integrated trade finance system are plentiful, that much is certain; and the HKMA strives to help bring about an enhanced system in collaboration with different stakeholders. We look forward to working with the International Chamber of Commerce (ICC) and the Fung Group in this regard so that the needs of the underserved segments can be better catered for. 16. Before I close, I’d like to take this opportunity to offer you a glimpse of the HKMA’s vision of digitalising cross-border trade. For those of you who have been following our CBDC developments closely, you will know that we are working on a project called mBridge. We have already developed a trial CBDC platform, and it has proven ability to speed up crossborder payments from multiple days to near real-time. 17. We are now exploring the feasibility of connecting eTradeConnect, CDI, and mBridge to strengthen the synergy between the three and further digitalise the cross-border trade process.

This can be done with the understanding that both policies, if designed and implemented properly, complement each other. Monetary policy can still pursue its course following low inflationary pressures, while the macroprudential measures can be used to address early risks developing under a low interest rate environment. On the other hand, macro-prudential measures can also be used to mitigate risks from incoming capital flows, in an environment of relatively high real interest rates. Instances of conflict among the two policies should not be neglected though. These instances can be more pronounced if the objectives of the two policies are wrongly defined in a certain financial situation, or respective tools are used out of their scope. For this reason, I believe that it might be helpful to uphold the monetary policy as the primary objective of the central bank. Stabilizing inflation should be something that central bankers may be proud of, something that we should cherish and continue to strive for. But we must recognize that financial stability issues and related macro-prudential measures have to gain significantly more grounds in central bank discussions and decisions. Clearly, the course of the monetary policy will continue to be extensively discussed in the future, based on our improved understanding of the role of asset prices and financial frictions. Incorporating financial stability objectives with the inflation targeting regime we have considered in Albania as an opportunity to understand and address economic developments and potential macrofinancial risks, in order to preserve long-run economic stability.
7 See: https://www.bankofengland.co.uk/education/econome. 3  All speeches are available online at www.bankofengland.co.uk/news/speeches  3  That being said, an economics education is certainly not a prerequisite to a career in the Bank. The Bank offers on the job training for all ages to entice diverse talent. Our Future Capability programme is aimed at pupils keen to get their careers started after leaving school. Almost 90% of our 2018 Future Capability intake were from a state school and over half were female. Historically, one impediment to improving diversity in central banking has been the lack of diversity among economics graduates. Just under a third of students studying economics to A-level and undergraduate level in British Universities are female.8,9 To enable the Bank to hire from a broader set of disciplines and train them as economists and technical specialists we have introduced an in-house Central Banking Qualification (CBQ), in which graduate hires can earn a Masters Degree in Central Banking. This means that only half of our graduates study economics, with the remainder plucked from the sciences, business and the humanities. In recent years, our graduates have come from 40 different universities, a six-fold increase in the past decade. In the Bank’s September 2019 intake, we expect that almost half – 46% – of graduates will be female. This is the most diverse outcome since we began recording the diversity of graduate intakes. Last year, the Bank won the TARGETjobs 'Most Popular Graduate Recruiter in Banking, Insurance and Financial Services’ for the second year running.

And, increasing student debt burdens have made it more difficult for many young adults to become homeowners.3 This is significant because homeownership is a major avenue for wealth accumulation for many households. Nevertheless, the tightening labor market should provide greater opportunities for workers to obtain employment, build human capital, and gain greater opportunities to improve their financial circumstances. On the business side of the ledger, investment spending should remain solid. Business cash flows are strong, and the corporate sector is set to receive a meaningful lift from the recently 1/6  BIS central bankers' speeches  enacted tax legislation. The large reduction in the statutory corporate income tax rate from 35 percent to 21 percent and the 100 percent expensing provision for investment should drive down the effective cost of capital for business. In addition, the U.S. economy should be well supported by the recent improvement in the global economic outlook. More synchronized cyclical recoveries in Europe and Japan—and a revival of growth in many emerging market economies—should ensure that demand for U.S. goods and services remains strong. Putting it all together, I have raised my real GDP forecast for 2018 by about half a percentage point to three quarters of a percentage point to a 2½ percent to 2¾ percent range. About onethird of this upward revision reflects the firmer momentum of the economy going into 2018 and about two-thirds the stimulative impact of the tax legislation.
The various fiscal expansion measures taken by national governments and, fortunately on this occasion, also by the European Union overall, have been decisive and have supplemented those adopted by the monetary authority. Similarly, post-crisis, monetary policy efficiency and the necessary macroeconomic stability will require that fiscal authorities apply budget policies that ensure that public finances are sound. This means that once the recovery is  6  One obligation that the ECB and the NCBs must fulfil in their actions, which is necessarily linked to their independence and key to ensuring price stability, is the prohibition of monetary financing. This prohibits central banks from financing obligations incurred by the public sector with third parties. This prohibition is laid down in Article 123 of the TFEU and Article 13(2) of the Law of Autonomy of the Banco de España. Pursuant to those provisions, overdraft facilities or any other type of credit facility with the ECB or with the NCBs in favour of European Union and Member State public authorities and bodies are prohibited, as is the purchase directly from them by the ECB or NCBs of debt instruments. The scope of the prohibition of monetary financing is specified in Council Regulation (EC) No 3603/93 of 13 December 1993. The ECB monitors closely compliance with the prohibition of monetary financing as part of Article 271(d) of the TFEU and prepares annual reports on the NCBs’ fulfilment of this obligation.

At the moment our legislation lags behind global practices. We understand what an urgent topic this is, and in order to make our economy more attractive to investors there should of course be effective mechanisms in place to counter insider trading and market manipulation. The next important issue is the bill concerning a financial Ombudsman for the rights of consumers of financial services. Recently at the State Council Presidium there was discussion about rights protection for consumers of financial services, and, of course, a financial Ombudsman could be one of the instruments used to increase the effectivity of consumers’ rights protection. We propose to bring this in gradually. And here, too, I hope I can count on support for this project from the Ministry of Finance and the government and state Duma as a whole. These bills are in the process of being finalised before submission to the state Duma. Firstly, for us it is important that a bill toughens liability for false statements in the financial sector. We are carrying out major work on improving the cyber resilience of financial organisations and combatting cyber attacks. So it is important for us, taking into account the benefits of digital technology development for the financial sphere, to provide an adequate level of security and protection from risks. Therefore it is necessary to amend the law in order to establish legal requirements for the protection of financial organisations’ information and to combat theft of their clients’ funds. We are now working on drafting this bill, too.