The Economic Research Framework of the National Bank of Poland for

Save this PDF as:
 WORD  PNG  TXT  JPG

Size: px
Start display at page:

Download "The Economic Research Framework of the National Bank of Poland for"

Transcription

1 1 The Economic Research Framework of the National Bank of Poland for Introduction The principal objectives of modern central banks, including the National Bank of Poland, focus on ensuring macroeconomic stability, price stability in particular, and financial stability. Central banks actions towards achieving these objectives have to be underpinned by results of complex economic research that uses various methodological approaches and applies diverse research tools. The significance of such research is of particular importance in the times of high uncertainty the world economy is presently in. This document presents preferred research areas and key study issues that should be on the agenda of economic research conducted at the National Bank of Poland in Both NBP staff and scholars not affiliated with the NBP can participate in the research. Research project competitions organised by the NBP on an annual basis are designed to include these scholars in research that is deemed useful from the central bank s point of view. Bearing in mind the central bank s statutory objectives as well as taking into account the specific nature of the current needs of the National Bank of Poland, three preferred research areas have been identified for : I. Macroeconomic stability II. Financial stability III. Methods of quantitative research I. Macroeconomic stability Achieving macroeconomic stability, and notably price stability, is the primary task of each central bank. Therefore, monetary authorities need to have a broad knowledge of the central bank s influence on the real and nominal economy to conduct monetary policy. This implies the necessity to carry out research focused on both exploring the environment in which monetary policy is conducted and designing monetary policy optimally, subject to the conditions identified. In this area, research issues relate primarily to the environment of monetary policy, such as nominal and real rigidities or the extent to which fiscal and macroprudential policies are restrictive. The trends in macroeconomic indicators: potential output, the natural rate of

2 2 unemployment, the natural interest rate and the equilibrium exchange rate are also among significant conditions of monetary policy. Moreover, medium term changes in price relations in the economy affect the environment in which monetary policy is conducted. These factors determine the strength and persistence of the impact of monetary policy on real and nominal variables, i.e. characteristics of the monetary policy transmission mechanism. The monetary policy transmission mechanism is a research problem to which central banks devote special attention. This mechanism describes the channels through which impulses generated by the central bank affect decisions made by economic agents, and consequently, demand, output and prices. For the central bank, knowledge of the monetary transmission mechanism is the prerequisite for an effective implementation of monetary policy, while for economic agents it is the key to understand monetary policy decisions. Research on the transmission mechanism should concentrate on the analysis of the strength and speed of transmission, with reference to its individual stages and channels. Besides research on the interest rate channel and the exchange rate channel, a significant role should also be played by the analysis of credit channels, the inflation expectations channel and the risk taking channel. Studies on the trends in asset prices (real estate prices, in particular) and their role in the monetary policy transmission process are especially important. It is necessary to keep track of changes in the transmission mechanism in the course of the financial crisis and changes in monetary policy triggered by factors such as globalisation, emigration or market liberalisation. The analysis of the transmission mechanism should also concern its cyclical characteristics as well as asymmetries and non linearity of its specific relationships. Public finances and, in a broader sense, the public sector, exert a substantial influence on macroeconomic stability. Public authorities may create conditions conducive to economic growth and improve, in the long term, social welfare through appropriate fiscal or regulatory policies. On the one hand, such measures have to be closely coordinated with the monetary policy (policy mix) in order not to provide opposite stimuli and contradictory signals. On the other hand, they themselves constitute vital conditions of this policy. From the point of view of monetary policy, it is particularly important to assess relationships between the individual components of aggregate demand and net fiscal position, the impact of fiscal policy on the business cycle, the pro or counter cyclical nature of fiscal policy, the operation of automatic fiscal stabilisers as well as institutional conditions of the cyclical nature of this policy. It is also necessary to analyse the impact of taxes (and other fiscal factors) on the economy. An important research topic, especially in the context of the debt crisis some European economies are struggling with, is the analysis of long term fiscal sustainability, the feedbacks between the public and private sector debt and the influence of demographic factors on public finances and economic development. Given the conditions identified, the central bank tries to conduct monetary policy in an optimal manner. The studies supporting the decision making process in this area should focus both on determining what an optimal monetary policy is and on analysing ways of its

3 3 implementation. Given the recent financial crisis, a research issue relating to the strategy and communication of monetary policy gains particular relevance. The crisis has led economists to discuss whether it is necessary for modern central banks to change the methods and instruments of monetary policy implementation, including a more complete inclusion of monetary and credit aggregates, to improve the impact both on macroeconomic and financial stability. At the same time, it is necessary to conduct research on the effects of the use of unconventional monetary policy instruments by the major central banks in the world and on the prospects of retaining them. Yet another research problem that has recently gained particular relevance is the coordination of monetary policy and macroprudential policy. The experience of the recent financial crisis shows that it is justified to give consideration to the broadening of economic policy instruments used to stabilise the economic climate. One of the options considered in the literature is the use of macroprudential policy instruments, such as additional capital requirements in the form of counter cyclical buffers, the limits set on Loan to Value (LtV) and Debt to Income (DtI) ratios, or additional systemic limits relating to banks liquidity position. Since the application of such instruments is now fairly limited internationally, it is vital to take up research that will help to assess the efficiency of such instruments if the decision is made to apply them. An additional associated topic is the use of macroprudential policy instruments and other instruments to counteract the potential economy destabilising effects of excessive inflow of foreign capital or excessive rise in volatility of international capital flows. When analysing Poland s monetary policy, the prospect of joining the euro area cannot be ignored. Despite uncertainty over the euro area entry date, the National Bank of Poland has to be prepared for this process. This raises the need for research on the directions of macroeconomic developments in the euro area, in connection with the analysis of on going and expected institutional and structural changes taking place in the common currency area. Within this research issue, of significant importance are also studies on the cyclical effects of Poland s accession to the euro area, and studies aimed at determining the dynamics of the real convergence of the Polish economy with the euro area economy, determinants of the process and the resulting challenges to the monetary policy. In short, six key study issues have been formulated in the area of research on the role of monetary policy in ensuring macroeconomic stability: 1. Environment of monetary policy 2. Monetary transmission mechanism 3. Public finances and macroeconomic stability 4. Strategy and communication of monetary policy 5. Relationships between monetary policy and macroprudential policy 6. Monetary integration with the euro area

4 4 II. Financial stability For central banks, the global financial crisis constitutes a source of a number of experiences and new knowledge. The crisis has shown that an unstable financial system generates huge costs for the real economy, is a drain on public finances and hinders the achievement of price stability. It is necessary to carry out more extensive research on financial stability issues, including the efficiency of prudential regulations and financial system supervision, liquidity management policy and crisis management. In the past, it was widely assumed that to achieve different goals different policy instruments were needed. It was believed that interest rate policy should be primarily used to achieve the inflation target, while other instruments, especially supervisory and regulatory ones, to preserve financial stability. In turn, regulatory measures were implemented and supervision was exercised almost exclusively from the point of view of the stability of individual institutions (i.e. from the microprudential point of view), and not the financial system as a whole. The financial crisis has demonstrated that the materialisation of systemic risks has substantially larger implications than the materialisation of financial institution specific risks. Until recently, research at central banks focused on three problems: interactions of the financial system with monetary policy (the process of transmission, monetary policy implementation through financial markets), the function of a lender of last resort, and banking supervision. It is now assumed that macroprudential policy tools should be primarily used for the preservation of financial stability. All potential systematically important institutions and markets should be covered by macroprudential policy. Central banks should be instrumental in the implementation monetary policy, irrespective of whether or not they perform supervisory functions. Yet most remains to be done in developing a framework for macro prudential policy implementation, including the preparation of tools, policy implementation itself and the determination of its institutional framework. By nature, financial stability analysis should be as future oriented as possible. This implies the need to have tools that would make it possible to determine the probability distributions of factors that could negatively affect the condition of the financial sector. Such tools would also help to forecast key variables describing the capability of the financial system to absorb potential shocks. Therefore, the first research issue in the area of financial stability considered in this programme is the assessment of the scale and probability of systemic risks emerging in the financial sector. This research area is less studied in comparison with studies on monetary policy instruments. Quantification of the magnitude and probability of risk to financial stability, interdependencies between various types of risk, and the mechanisms of the risk of contagion will form the basis for central banks and other public institutions

5 5 making up the financial safety net to determine actions aimed at maintaining financial stability. The second research issue of significance for financial stability is the evolution of the financial system and its influence on the effectiveness and stability of the financial system. Studies in this area should include such problems as barriers to the development of the financial system, the scope of basic functions the system should perform, including the availability of financial services for various entities of the real economy. In Polish conditions, the research area of particular importance should be the impact of the process of financial systems integration in European countries and the establishment of a pan European system on the growth and structure of Poland s financial system, with particular emphasis of the impact of the process on financial stability and availability of financial services for entities in the real sphere. In this research area, particular attention should also be given to issues related to the development of the payment system that plays a key role in the performance of the financial system s basic functions. Knowledge gained from this research can become the basis for developing own proposals and assessing proposed institutional and regulatory solutions, including the banking union, formulated on the EU forum. The scope of research on another issue, i.e. the institutional framework for financial stability, is extensive. It covers primarily such topics as institutional arrangements that serve to maintain financial stability (safety net), regulation of the financial system (the need for such regulation, its effectiveness and costs) or counteracting the growth of speculative bubbles. The attempt to determine the impact of unregulated financial intermediation institutions as well as areas of unregulated activities of financial institutions on financial stability should also be an important objective on the research agenda. Moreover, studies on the institutional framework for financial stability should cover the actions of public institutions in case of systemic risk materialisation, that is crisis management and bank resolution. The importance of these relatively new issues has grown significantly, especially following the experience gained from the recent financial crisis, when it turned out that supervision arrangements in place were insufficient to avert the serious financial crisis. The financial crisis is cause for interest in the relationships between the development, structure and stability of the financial system and economic growth. Studies on this issue have important practical implications, as their findings can indicate whether the financial system fulfils its functions well, and can allow to determine the adequate scale of resources dedicated to preserving or restoring financial stability. These studies can relate both to the financial system as a whole as well as its segments, e.g. the capital market. In brief, five key study issues have been identified in the area of financial stability: 1. Assessment of the scale and probability of the emergence of risk to financial stability (systemic risk), including the development of relevant methods and tools

6 6 2. Evolution of the financial system and its influence on the system s effectiveness and stability 3. Development of the payment system, including non cash transactions 4. Institutional framework for financial stability 5. Relationships between the development, structure and stability of the financial system and economic growth III. Methods of quantitative research Institutional economics, behavioural economics and international comparisons have recently featured relatively more prominently in economic research methods than in the past However, irrespective of the approach applied, quantitative methods are the main instrument of economic research, especially research carried out at central banks. Both research work and on going analytical and forecasting work carried out for monetary policy needs require the use of economic and econometric models. It is necessary to have a suite of models, which facilitates answering a relatively broad range of questions. At the same time, the models based on various methodologies enable a better evaluation of the reliability of the responses obtained. In the context of work carried out at the National Bank of Poland, special attention is paid to the development of simulation and forecasting models that support the Bank s policies. The development of these models often requires application of advanced econometric methods, such as co integration, panel data analysis or Bayesian inference. The development of simulation models facilitates answering a number of interesting and important research questions. In the coming years, National Bank of Poland staff will be developing, inter alia, DSGE models containing the financial sector. Such models facilitate analysis and research on coordination of monetary and macroprudential policy. Work will also be carried out to model the interaction between monetary and fiscal policy in a more accurate way. The design and development of models with heterogeneous agents will be another important section of modelling. Models of this class allow, inter alia, to analyse credit and housing market issues. Consideration will also be given to the use of agent based models to carry out microeconomic research on household behaviour patterns. Forecasting plays a very important role in the policy of the National Bank of Poland. Since changes in the level of interest rates have a lagged impact on the economy, relevant interest rate decisions do not only take into account the current macroeconomic context, but also its future. In addition, as part of the communication strategy, inflation and GDP forecasts are presented in Inflation Reports together with a precise description of various types of risk. NECMOD is the basic forecasting model used by the National Bank of Poland, however other tools are also applied: the SOE PL dynamic stochastic general equilibrium (DSGE) model, dynamic factor models, Bayesian vector auto regression (BVAR) models, leading indicators

7 7 based models and expert knowledge. Owing to continuous changes taking place in the economy, these tools need to be updated and improved on a continuous basis. In specified circumstances, it is necessary to include a new forecasting tool to the suite of models applied at the National Bank of Poland. This justifies the need to carry out research on the development of forecasting methods. The analysis of the economy with the use of forecasting and simulation models involves the need to estimate their parameters. In the case of macroeconomic models, this is done on the basis of time series, while in the case of microeconomic models panel data are normally used. Panel data are also a valuable source of knowledge used for calibration or estimation of DSGE models. This implies the need to carry out research on the development of time series and panel data analysis methods that are tailored to the realities of the Polish economy. The necessity to monitor the situation in financial markets by the central bank requires the use of advanced analytical methods. It is particularly significant in this respect to work on three groups of tools. The first one includes probability quantification and knowledge pooling methods for systemic risk analysis needs. The second one includes tools used for modelling the maturity structure of interest rates. These tools help to compare prices resulting from the model with prices observed in the market and, consequently, to identify potential imbalances. Moreover, a correct specification of the yield curve allows to derive market expectations of future interest rate and inflation levels, and economic growth rate forecasts. Changes in the yield curve also reflect market assessment of the effectiveness of National Bank of Poland s monetary policy measures. The third group of financial market analysis relates to the examination of the interdependence between global, regional and local markets. To this end, a number of methods are used from descriptive ones to more formalised econometric methods, including methods based on multidimensional models and copulas. In this context, it is appropriate to broaden the set of instruments and study the most efficient research methods. Modelling of the Polish economy is normally based on short time series of a maximum of less than 20 years. This means that in a number of cases, the accuracy of the classic estimates of the parameters of simulation or forecasting models is low. One of the solutions is to apply Bayesian inference methods, a formal tool that allows to include information on model parameters from outside the sample, and thereby to improve accuracy of their estimations. As experience shows, the use of Bayesian methods seems particularly attractive in the context of vector auto regression (VAR) and DSGE models that are, on a standard basis, used to analyse the impact of monetary policy on the economy. Due to the above considerations, it is important to conduct research on the development of inference methods on the basis of short time series, with particular emphasis on Bayesian inference tools.

8 8 In short, five key study issues have been identified in the area of methods of quantitative research: 1. Development of simulation models 2. Development of forecasting methods 3. Development of time series and panel data analysis methods 4. Development of financial market analysis methods 5. Development of inference methods based on short time series

The AD-AS Model and Monetary Policy

The AD-AS Model and Monetary Policy Introduction The AD-AS Model and Monetary Policy Chapter 14 Monetary policy is one of the two main traditional macroeconomic tools to control the aggregate economy. While fiscal policy is controlled by

More information

18 ECB FACTORS AFFECTING LENDING TO THE PRIVATE SECTOR AND THE SHORT-TERM OUTLOOK FOR MONEY AND LOAN DYNAMICS

18 ECB FACTORS AFFECTING LENDING TO THE PRIVATE SECTOR AND THE SHORT-TERM OUTLOOK FOR MONEY AND LOAN DYNAMICS Box 2 FACTORS AFFECTING LENDING TO THE PRIVATE SECTOR AND THE SHORT-TERM OUTLOOK FOR MONEY AND LOAN DYNAMICS The intensification of the financial crisis in the fourth quarter of 211 had a considerable

More information

Liquidity Coverage Ratio

Liquidity Coverage Ratio Liquidity Coverage Ratio Aims to ensure banks maintain adequate levels of unencumbered high quality assets (numerator) against net cash outflows (denominator) over a 30 day significant stress period. High

More information

2015 Article IV Consultation with Sweden Concluding Statement of the IMF Mission

2015 Article IV Consultation with Sweden Concluding Statement of the IMF Mission 2015 Article IV Consultation with Sweden Concluding Statement of the IMF Mission Sweden s economy is performing well. But housing prices and household debt are elevated and rising and unemployment is high

More information

PROJECTION OF THE FISCAL BALANCE AND PUBLIC DEBT (2012 2027) - SUMMARY

PROJECTION OF THE FISCAL BALANCE AND PUBLIC DEBT (2012 2027) - SUMMARY PROJECTION OF THE FISCAL BALANCE AND PUBLIC DEBT (2012 2027) - SUMMARY PUBLIC FINANCE REVIEW February 2013 SUMMARY Key messages The purpose of our analysis is to highlight the risks that fiscal policy

More information

Balázs Vonnák: Risk premium shocks, monetary policy and exchange rate pass-through in small, open countries*,1

Balázs Vonnák: Risk premium shocks, monetary policy and exchange rate pass-through in small, open countries*,1 Balázs Vonnák: Risk premium shocks, monetary policy and exchange rate pass-through in small, open countries*,1 The central banks of small, open countries often face the problem that the exchange rate of

More information

Discussion of DSGE Modeling of China s Macroeconomy and Housing Cycle

Discussion of DSGE Modeling of China s Macroeconomy and Housing Cycle Discussion of DSGE Modeling of China s Macroeconomy and Housing Cycle Paolo Pesenti, Federal Reserve Bank of New York Hangzhou, March 2016 Disclaimer: The views expressed in this presentation are those

More information

The Mexican Economy: Facts and Opportunities

The Mexican Economy: Facts and Opportunities Manuel Sánchez Santander Global Fixed Income Summit London, England, September 20, 2012 Contents 1 Structural features 2 Recent developments and outlook 3 Inflation and monetary policy 4 Economic challenges

More information

Factoring Exchange Rate Policy into your Investment Strategy: Risks Facing Andean Countries

Factoring Exchange Rate Policy into your Investment Strategy: Risks Facing Andean Countries Factoring Exchange Rate Policy into your Investment Strategy: Risks Facing Andean Countries September 2011 Dr. Eliot Kalter President, E M Strategies Senior Fellow, The Fletcher School Ekalter@EMStrategies.com

More information

New Monetary Policy Challenges

New Monetary Policy Challenges New Monetary Policy Challenges 63 Journal of Central Banking Theory and Practice, 2013, 1, pp. 63-67 Received: 5 December 2012; accepted: 4 January 2013 UDC: 336.74 Alexey V. Ulyukaev * New Monetary Policy

More information

International Monetary and Financial Committee

International Monetary and Financial Committee International Monetary and Financial Committee Twenty-Seventh Meeting April 20, 2013 Statement by Koen Geens, Minister of Finance, Ministere des Finances, Belgium On behalf of Armenia, Belgium, Bosnia

More information

Economic Commentaries

Economic Commentaries n Economic Commentaries This Economic Commentary describes how the IMF lends money to its member countries as well as the terms and conditions for the loans. The IMF has a mandate to lend money to countries

More information

MSc Finance and Economics detailed module information

MSc Finance and Economics detailed module information MSc Finance and Economics detailed module information Example timetable Please note that information regarding modules is subject to change. TERM 1 TERM 2 TERM 3 INDUCTION WEEK EXAM PERIOD Week 1 EXAM

More information

Pentti Hakkarainen: Bank of Finland and its activities and the Finnish economic outlook

Pentti Hakkarainen: Bank of Finland and its activities and the Finnish economic outlook Pentti Hakkarainen: Bank of Finland and its activities and the Finnish economic outlook Speech by Mr Pentti Hakkarainen, Deputy Governor of the Bank of Finland, at the Honorary Consulars meeting, Helsinki,

More information

THE FUTURE OF THE BELGIAN FINANCIAL SECTOR

THE FUTURE OF THE BELGIAN FINANCIAL SECTOR THE FUTURE OF THE BELGIAN FINANCIAL SECTOR REPORT OF THE HIGH LEVEL EXPERT GROUP ESTABLISHED ON THE INITIATIVE OF THE MINISTER OF FINANCE OF BELGIUM BRUSSELS, 13 JANUARY 2016 Executive summary REFORMS

More information

Ádám Banai, Zsuzsanna Hosszú, Gyöngyi Körmendi and Bence Mérő: Impact of base rate cuts on bank profitability*

Ádám Banai, Zsuzsanna Hosszú, Gyöngyi Körmendi and Bence Mérő: Impact of base rate cuts on bank profitability* Ádám Banai, Zsuzsanna Hosszú, Gyöngyi Körmendi and Bence Mérő: Impact of base rate cuts on bank profitability* The adequate long-term earnings potential of the financial intermediary system is essential

More information

A Tour of The World. Applied Macroeconomics Delia Gramm (EURAC, Bozen), Stefan Gruber (Universität Bologna) The United States

A Tour of The World. Applied Macroeconomics Delia Gramm (EURAC, Bozen), Stefan Gruber (Universität Bologna) The United States A Tour of The World CHAPTER 1 CHAPTER 1 Applied Macroeconomics Delia Gramm (EURAC, Bozen), Stefan Gruber (Universität Bologna) 1-1 The United States Figure 1-1 The United States, 2003 Applied Macroeconomics

More information

Course Descriptions Master of Science in Finance Program University of Macau

Course Descriptions Master of Science in Finance Program University of Macau Course Descriptions Master of Science in Finance Program University of Macau Principles of Economics This course provides the foundation in economics. The major topics include microeconomics, macroeconomics

More information

Annotated Agenda of the Sherpa meeting. Main features of Contractual Arrangements and Associated Solidarity Mechanisms

Annotated Agenda of the Sherpa meeting. Main features of Contractual Arrangements and Associated Solidarity Mechanisms Annotated Agenda of the Sherpa meeting 21-11-2013 Main features of Contractual Arrangements and Associated Solidarity Mechanisms At their meeting on 26 November the Sherpas are invited to discuss: General

More information

GUIDELINES for the Single State Monetary Policy in 2016 and for 2017 and 2018. Moscow

GUIDELINES for the Single State Monetary Policy in 2016 and for 2017 and 2018. Moscow GUIDELINES for the Single State Monetary Policy in 2016 and for 2017 and 2018 Moscow Approved by the Bank of Russia Board of Directors on 10 November 2015 THE CENTRAL BANK OF THE RUSSIAN FEDERATION, 2015

More information

Double Master Degrees in International Economics and Development

Double Master Degrees in International Economics and Development Double Master Degrees in International Economics and Development Detailed Course Content 1. «Development theories and contemporary issues for development» (20h) Lectures will explore the related themes

More information

Discussion of Current Account Imabalances in the Southern Euro Area: Causes, Consequences, and Remedies. Massimiliano Pisani (Bank of Italy)

Discussion of Current Account Imabalances in the Southern Euro Area: Causes, Consequences, and Remedies. Massimiliano Pisani (Bank of Italy) Discussion of Current Account Imabalances in the Southern Euro Area: Causes, Consequences, and Remedies Massimiliano Pisani (Bank of Italy) Italy s External Competitiveness Ministry of Economy and Finance,

More information

Monetary Policy in Greece on the Road to EMU

Monetary Policy in Greece on the Road to EMU Monetary Policy in Greece on the Road to EMU George S. Tavlas Director Advisor Bank of Greece and Theodoros Papaspyrou Advisor Bank of Greece The views expressed are those of the authors and should not

More information

New Approaches to Economic Challenges - A Framework Paper

New Approaches to Economic Challenges - A Framework Paper New Approaches to Economic Challenges - A Framework Paper 1. The global crisis was a wake-up call to policymakers around the world. Market and governance failures have led to the most pressing financial,

More information

Monetary policy rules and their application in Russia. Economics Education and Research Consortium Working Paper Series ISSN 1561-2422.

Monetary policy rules and their application in Russia. Economics Education and Research Consortium Working Paper Series ISSN 1561-2422. Economics Education and Research Consortium Working Paper Series ISSN 1561-2422 No 04/09 Monetary policy rules and their application in Russia Anna Vdovichenko Victoria Voronina This project (02-230) was

More information

Mario Draghi: Europe and the euro a family affair

Mario Draghi: Europe and the euro a family affair Mario Draghi: Europe and the euro a family affair Keynote speech by Mr Mario Draghi, President of the European Central Bank, at the conference Europe and the euro a family affair, organised by the Bundesverband

More information

THE IMPACT OF MACROECONOMIC FACTORS ON NON-PERFORMING LOANS IN THE REPUBLIC OF MOLDOVA

THE IMPACT OF MACROECONOMIC FACTORS ON NON-PERFORMING LOANS IN THE REPUBLIC OF MOLDOVA Abstract THE IMPACT OF MACROECONOMIC FACTORS ON NON-PERFORMING LOANS IN THE REPUBLIC OF MOLDOVA Dorina CLICHICI 44 Tatiana COLESNICOVA 45 The purpose of this research is to estimate the impact of several

More information

CP FOR DRAFT RTS ON RWS/LGDS ARTICLES 124 AND 164 CRR EBA/CP/2015/12. 6 July 2015. Consultation Paper

CP FOR DRAFT RTS ON RWS/LGDS ARTICLES 124 AND 164 CRR EBA/CP/2015/12. 6 July 2015. Consultation Paper EBA/CP/2015/12 6 July 2015 Consultation Paper Draft Regulatory Technical Standards on the conditions that competent authorities shall take into account when determining higher risk-weights, in particular

More information

INTERNATIONAL ASSOCIATION OF INSURANCE SUPERVISORS

INTERNATIONAL ASSOCIATION OF INSURANCE SUPERVISORS Standard No. 13 INTERNATIONAL ASSOCIATION OF INSURANCE SUPERVISORS STANDARD ON ASSET-LIABILITY MANAGEMENT OCTOBER 2006 This document was prepared by the Solvency and Actuarial Issues Subcommittee in consultation

More information

Discussion of Capital Injection, Monetary Policy, and Financial Accelerators

Discussion of Capital Injection, Monetary Policy, and Financial Accelerators Discussion of Capital Injection, Monetary Policy, and Financial Accelerators Karl Walentin Sveriges Riksbank 1. Background This paper is part of the large literature that takes as its starting point the

More information

The euro area economy, ECB monetary policy and its transmission in the euro area and Finland

The euro area economy, ECB monetary policy and its transmission in the euro area and Finland Suomen Pankki The euro area economy, ECB monetary policy and its transmission in the euro area and Finland Euro & talous, 9 June 2016 1 Euro area economic growth is broadly based, but inflation still slow.

More information

Priorities in broadening the database in emerging market economies and developing countries and organisation of the further work programme

Priorities in broadening the database in emerging market economies and developing countries and organisation of the further work programme Priorities in broadening the database in emerging market economies and developing countries and organisation of the further work programme Hermann Remsperger und Bernd Braasch Bond Markets in Emerging

More information

Jarle Bergo: Monetary policy and the outlook for the Norwegian economy

Jarle Bergo: Monetary policy and the outlook for the Norwegian economy Jarle Bergo: Monetary policy and the outlook for the Norwegian economy Speech by Mr Jarle Bergo, Deputy Governor of Norges Bank, at the Capital markets seminar, hosted by Terra-Gruppen AS, Gardermoen,

More information

Fewer net errors and omissions, that is a new format of the balance of payments

Fewer net errors and omissions, that is a new format of the balance of payments Fewer net errors and omissions, that is a new format of the balance of payments The size of net errors and omissions in the balance of payments decreased from 4.4% to 2.3% of GDP. This resulted from data

More information

Basel Committee on Banking Supervision

Basel Committee on Banking Supervision Basel Committee on Banking Supervision Liquidity coverage ratio disclosure standards January 2014 (rev. March 2014) This publication is available on the BIS website (www.bis.org). Bank for International

More information

Masters in Financial Economics (MFE)

Masters in Financial Economics (MFE) Masters in Financial Economics (MFE) Admission Requirements Candidates must submit the following to the Office of Admissions and Registration: 1. Official Transcripts of previous academic record 2. Two

More information

The history of the Bank of Russia s exchange rate policy

The history of the Bank of Russia s exchange rate policy The history of the Bank of Russia s exchange rate policy Central Bank of the Russian Federation Abstract During the post-soviet period of 1992 98, the monetary policy of the Bank of Russia was essentially

More information

CHAPTER 11. AN OVEVIEW OF THE BANK OF ENGLAND QUARTERLY MODEL OF THE (BEQM)

CHAPTER 11. AN OVEVIEW OF THE BANK OF ENGLAND QUARTERLY MODEL OF THE (BEQM) 1 CHAPTER 11. AN OVEVIEW OF THE BANK OF ENGLAND QUARTERLY MODEL OF THE (BEQM) This model is the main tool in the suite of models employed by the staff and the Monetary Policy Committee (MPC) in the construction

More information

Sweden 2013 Article IV Consultation: Concluding Statement of the Mission Stockholm May 31, 2013

Sweden 2013 Article IV Consultation: Concluding Statement of the Mission Stockholm May 31, 2013 Sweden 2013 Article IV Consultation: Concluding Statement of the Mission Stockholm May 31, 2013 Sweden s economy performed well through the crisis, but growth has moderated recently 1. Growth has slowed

More information

Recommendation for a COUNCIL RECOMMENDATION. on the 2016 national reform programme of France

Recommendation for a COUNCIL RECOMMENDATION. on the 2016 national reform programme of France EUROPEAN COMMISSION Brussels, 18.5.2016 COM(2016) 330 final Recommendation for a COUNCIL RECOMMENDATION on the 2016 national reform programme of France and delivering a Council opinion on the 2016 stability

More information

Masters in Money, Banking and Finance

Masters in Money, Banking and Finance Masters in Money, Banking and Finance Taught Element: 100 credits: EC5605, EC5608, EC5609, EC5801, EC5901 20 credits: EC5225, EC5606, EC5610, EC5611, EC5722 MSc: 120 credits as for the Taught Element plus

More information

List of legislative acts

List of legislative acts List of legislative acts BRRd : d irective 2014/59/EU of the European Parliament and of the Council of 15 May 2014 establishing a framework for the recovery and resolution of credit institutions and investment

More information

Masters in Money, Banking and Finance

Masters in Money, Banking and Finance Masters in Money, Banking and Finance Taught Element: Compulsory modules 100 credits: EC5605, EC5608, EC5609, EC5801, EC5901 Optional modules 20 credits from: EC5225, EC5606, EC5610, EC5611, EC5722 MSc:

More information

United States current account deficits: A stochastic optimal control analysis 1

United States current account deficits: A stochastic optimal control analysis 1 University Press Scholarship Online You are looking at 1-10 of 19 items for: keywords : current account deficits United States current account deficits: A stochastic optimal control analysis 1 in Stochastic

More information

MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.

MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question. Suvey of Macroeconomics, MBA 641 Fall 2006, Final Exam Name MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question. 1) Modern macroeconomics emerged from

More information

Executive Master's in Business Administration Program

Executive Master's in Business Administration Program Executive Master's in Business Administration Program College of Business Administration 1. Introduction \ Program Mission: The UOS EMBA program has been designed to deliver high quality management education

More information

Agenda. Business Cycles. What Is a Business Cycle? What Is a Business Cycle? What is a Business Cycle? Business Cycle Facts.

Agenda. Business Cycles. What Is a Business Cycle? What Is a Business Cycle? What is a Business Cycle? Business Cycle Facts. Agenda What is a Business Cycle? Business Cycles.. 11-1 11-2 Business cycles are the short-run fluctuations in aggregate economic activity around its long-run growth path. Y Time 11-3 11-4 1 Components

More information

The Public Finance Sector DEBT MANAGEMENT STRATEGY. In the years 2006-2008

The Public Finance Sector DEBT MANAGEMENT STRATEGY. In the years 2006-2008 The Public Finance Sector DEBT MANAGEMENT STRATEGY In the years 2006-2008 Ministry of Finance Warsaw, September 2005 The Public Finance Sector DEBT MANAGEMENT STRATEGY in the years 2006-08 I. INTRODUCTION

More information

Central Banks and Monetary Policies: What lessons have learned in the last twenty years?

Central Banks and Monetary Policies: What lessons have learned in the last twenty years? Central Banks and Monetary Policies: What lessons have learned in the last twenty years? Is it all as simple in practical life as it is written in textbooks? Agenda: 1. Setting the scene 2. Rerminder of

More information

DEPARTMENT OF ECONOMICS SCHOOL OF HUMANITIES AND SOCIAL SCIENCES. Undergraduate Prospectus Bachelor of Science in Economics

DEPARTMENT OF ECONOMICS SCHOOL OF HUMANITIES AND SOCIAL SCIENCES. Undergraduate Prospectus Bachelor of Science in Economics DEPARTMENT OF ECONOMICS SCHOOL OF HUMANITIES AND SOCIAL SCIENCES Undergraduate Prospectus Bachelor of Science in Economics 1 CONTACT INFORMATION: Department of Economics, School of Humanities and Social

More information

The EMU and the debt crisis

The EMU and the debt crisis The EMU and the debt crisis MONETARY POLICY REPORT FEBRUARY 212 43 The debt crisis in Europe is not only of concern to the individual debt-ridden countries; it has also developed into a crisis for the

More information

5 Comparison with the Previous Convergence Programme and Sensitivity Analysis

5 Comparison with the Previous Convergence Programme and Sensitivity Analysis 5 Comparison with the Previous Convergence Programme and Sensitivity Analysis 5.1 Comparison with the Previous Macroeconomic Scenario The differences between the macroeconomic scenarios of the current

More information

Pros and cons of inflation targeting

Pros and cons of inflation targeting Pros and cons of inflation targeting Gill Hammond Deputy Director, CCBS, Bank of England Outline What is inflation targeting? Alternative monetary policy regimes Benefits of Inflation Targeting Challenges

More information

POST- CRISIS BUSINESS MODEL OF BANKS IN THE REGION

POST- CRISIS BUSINESS MODEL OF BANKS IN THE REGION POST- CRISIS BUSINESS MODEL OF BANKS IN THE REGION Dr. György Surányi Resident Regional Head 16-17, November, 29 BEFORE THE CRISIS: A MACROECONOMIC OVERVIEW 2 GDP GROWTH RATES WELL ABOVE THE EMU AVERAGE...

More information

CENTRAL BANK OF TURKEY Interbank Markets Operations. Eşref Mehmet GÖKSU Markets Department Manager of FX Department

CENTRAL BANK OF TURKEY Interbank Markets Operations. Eşref Mehmet GÖKSU Markets Department Manager of FX Department CENTRAL BANK OF TURKEY Interbank Markets Operations Eşref Mehmet GÖKSU Markets Department Manager of FX Department September 2011 1 Legislative Framework 2 Legislative Framework The Law on The Central

More information

MASTER OF SCIENCE FINANCIAL ECONOMICS ABAC SCHOOL OF MANAGEMENT ASSUMPTION UNIVERSITY OF THAILAND

MASTER OF SCIENCE FINANCIAL ECONOMICS ABAC SCHOOL OF MANAGEMENT ASSUMPTION UNIVERSITY OF THAILAND MASTER OF SCIENCE FINANCIAL ECONOMICS ABAC SCHOOL OF MANAGEMENT ASSUMPTION UNIVERSITY OF THAILAND ECO 5001 Mathematics for Finance and Economics The uses of mathematical argument in extending the range,

More information

Forecasting Chinese Economy for the Years 2013-2014

Forecasting Chinese Economy for the Years 2013-2014 Forecasting Chinese Economy for the Years 2013-2014 Xuesong Li Professor of Economics Deputy Director of Institute of Quantitative & Technical Economics Chinese Academy of Social Sciences Email: xsli@cass.org.cn

More information

The Fiscal Policy and The Monetary Policy. Ing. Mansoor Maitah Ph.D.

The Fiscal Policy and The Monetary Policy. Ing. Mansoor Maitah Ph.D. The Fiscal Policy and The Monetary Policy Ing. Mansoor Maitah Ph.D. Government in the Economy The Government and Fiscal Policy Fiscal Policy changes in taxes and spending that affect the level of GDP to

More information

Monetary Policy in the Post-Crisis Period

Monetary Policy in the Post-Crisis Period Monetary Policy in the Post-Crisis Period A. Hakan Kara Research and Monetary Policy Department EAF Conference October 10, 2011 Contents I. Changing View of Central Banking II. Capital Flows to Emerging

More information

Strengthening the banking union and the regulatory treatment of banks sovereign exposures Informal ECOFIN, April 22, 2016 Presidency note

Strengthening the banking union and the regulatory treatment of banks sovereign exposures Informal ECOFIN, April 22, 2016 Presidency note Strengthening the banking union and the regulatory treatment of banks sovereign exposures Informal ECOFIN, April 22, 2016 Presidency note Introduction One of the key priorities of the Dutch Presidency

More information

MASTER IN ECONOMICS AND FINANCE

MASTER IN ECONOMICS AND FINANCE MASTER IN ECONOMICS AND FINANCE The document presents the structure of the master program (and the professors in charge of each course) in 2014 2015. Courses, workshops, etc. are ordered primarily by the

More information

Some Thoughts on the Design of Monetary Policy Strategy and Communications Andrew Levin Resident Scholar, IMF Research Department March 2014

Some Thoughts on the Design of Monetary Policy Strategy and Communications Andrew Levin Resident Scholar, IMF Research Department March 2014 Some Thoughts on the Design of Monetary Policy Strategy and Communications Andrew Levin Resident Scholar, IMF Research Department March 2014 The views expressed are solely my own responsibility and should

More information

The Impact of Interest Rate Shocks on the Performance of the Banking Sector

The Impact of Interest Rate Shocks on the Performance of the Banking Sector The Impact of Interest Rate Shocks on the Performance of the Banking Sector by Wensheng Peng, Kitty Lai, Frank Leung and Chang Shu of the Research Department A rise in the Hong Kong dollar risk premium,

More information

Ministry of Finance > PO Box 20201 2500 EE Den Haag The Netherlands. Date 20 January 2013 Subject Policy Priorities Eurogroup Presidency

Ministry of Finance > PO Box 20201 2500 EE Den Haag The Netherlands. Date 20 January 2013 Subject Policy Priorities Eurogroup Presidency Ministry of Finance > PO Box 20201 2500 EE Den Haag The Netherlands Euro area Ministers of Finance Date 20 January 2013 Subject Policy Priorities Eurogroup Presidency Dear Minister, As you are aware, I

More information

Doctor of Philosophy in Economics (English Program) Curriculum 2006

Doctor of Philosophy in Economics (English Program) Curriculum 2006 Doctor of Philosophy in Economics (English Program) Curriculum 2006 1. Program Title Doctor of Philosophy Program in Economics (English Program) 2. Degree Title Doctor of Philosophy (Economics) Ph.D. (Economics)

More information

Macroeconomic Management With Open Capital Accounts

Macroeconomic Management With Open Capital Accounts Macroeconomic Management With Open Capital Accounts György Szapáry Central Bank of Hungary IMF-Singapore Regional Training Institute Seminar, Crisis Prevention in Emerging kets, Singapore, y 1-11, Introduction

More information

Republic of Costa Rica: Summary Bond Terms

Republic of Costa Rica: Summary Bond Terms Republic of Costa Rica: Summary Bond Terms Costa Rica Bonds 6.548%, 2014 9.995%, 2020 4.25%, 2023 Issuer Republic of Costa Rica Currency USD Issue Date January 12, 2004 July 20, 2000 November 16, 2012

More information

3. WHY DOES DOMESTIC SAVING MATTER FOR TURKEY? 26

3. WHY DOES DOMESTIC SAVING MATTER FOR TURKEY? 26 3. WHY DOES DOMESTIC SAVING MATTER FOR TURKEY? 26 23. The analysis so far suggests that saving rates plunged in the 2000s, mainly due to the drop in household saving. It also established that saving in

More information

Thought Starter on Price Volatility in Energy Markets

Thought Starter on Price Volatility in Energy Markets Thought Starter on Price Volatility in Energy Markets Policy Options on how to address price volatility in energy markets January 2012 I. Introduction Secure and sustainable access to energy lies at the

More information

DEPARTMENT OF BANKING AND FINANCE

DEPARTMENT OF BANKING AND FINANCE 202 COLLEGE OF BUSINESS DEPARTMENT OF BANKING AND FINANCE Degrees Offered: B.B., E.M.B.A., M.B., Ph.D. Chair: Chiu, Chien-liang ( 邱 建 良 ) The Department The Department of Banking and Finance was established

More information

Impact of Global Financial Crisis on South Asia

Impact of Global Financial Crisis on South Asia Impact of Global Financial Crisis on South Asia February 17, 2009 - The global financial crisis hit South Asia at a time when it had barely recovered from severe terms of trade shock resulting from the

More information

Lecture 10: International banking

Lecture 10: International banking Lecture 10: International banking The sessions so far have focused on banking in a domestic context. In this lecture we are going to look at the issues which arise from the internationalisation of banking,

More information

Static and dynamic analysis: basic concepts and examples

Static and dynamic analysis: basic concepts and examples Static and dynamic analysis: basic concepts and examples Ragnar Nymoen Department of Economics, UiO 18 August 2009 Lecture plan and web pages for this course The lecture plan is at http://folk.uio.no/rnymoen/econ3410_h08_index.html,

More information

Overcoming the Crisis

Overcoming the Crisis Overcoming the Crisis Klaus Regling, Managing Director, ESM Bank of Greece Athens, 10 July 2014 Reasons for the crisis The crisis was caused by a very specific mix of circumstances: Excessive deficit/debt

More information

FINANCIAL DOMINANCE MARKUS K. BRUNNERMEIER & YULIY SANNIKOV

FINANCIAL DOMINANCE MARKUS K. BRUNNERMEIER & YULIY SANNIKOV Based on: The I Theory of Money - Redistributive Monetary Policy CFS Symposium: Banking, Liquidity, and Monetary Policy 26 September 2013, Frankfurt am Main 2013 FINANCIAL DOMINANCE MARKUS K. BRUNNERMEIER

More information

uncertainty. Credit flows are especially pro cyclical

uncertainty. Credit flows are especially pro cyclical Dilemma not Trilemma: The Global Financial Cycle and Monetary Policy Independence Hélène Rey London Business School, CEPR and NBER Jackson Hole Symposium 2013 Global financial cycle: capital flows Strong

More information

SURVEY ON HOW COMMERCIAL BANKS DETERMINE LENDING INTEREST RATES IN ZAMBIA

SURVEY ON HOW COMMERCIAL BANKS DETERMINE LENDING INTEREST RATES IN ZAMBIA BANK Of ZAMBIA SURVEY ON HOW COMMERCIAL BANKS DETERMINE LENDING INTEREST RATES IN ZAMBIA September 10 1 1.0 Introduction 1.1 As Government has indicated its intention to shift monetary policy away from

More information

What is fiscal policy? Fiscal policy is the use of government spending and taxation to influence the level of aggregate demand and economic activity

What is fiscal policy? Fiscal policy is the use of government spending and taxation to influence the level of aggregate demand and economic activity Macroeconomic policy Fiscal Policy What is fiscal policy? Fiscal policy is the use of government spending and taxation to influence the level of aggregate demand and economic activity List the main types

More information

Finance and Economics Course Descriptions

Finance and Economics Course Descriptions Finance and Economics Course Descriptions Finance Course Descriptions FIN 250 Financial Management This course addresses the theory and practice of financial management and the role of the Financial Manager.

More information

MONETARY POLICY, THE MONEY SUPPLY AND INTEREST RATES. A2 Economics

MONETARY POLICY, THE MONEY SUPPLY AND INTEREST RATES. A2 Economics MONETARY POLICY, THE MONEY SUPPLY AND INTEREST RATES A2 Economics The Specification Introductory Research/Reading Task Go To: http://www.bankofengland.co.uk/monetarypolicy/index.htm Create a Fact Sheet

More information

Economics Course Descriptions

Economics Course Descriptions Economics Course Descriptions ECON 1150 GLOBAL ECONOMIC PROBLEMS Impact of international trade, international finance, and foreign direct investment on various parts of the world with emphasis on current

More information

2.5 Monetary policy: Interest rates

2.5 Monetary policy: Interest rates 2.5 Monetary policy: Interest rates Learning Outcomes Describe the role of central banks as regulators of commercial banks and bankers to governments. Explain that central banks are usually made responsible

More information

NORGES BANK TOWARDS 2016

NORGES BANK TOWARDS 2016 StrategY 2014-2016 Strategy for 2014-2016 laid down by the Executive Board on 4 December 2013 NORGES BANK TOWARDS 2016 plays an important role in society and manages substantial assets on behalf of the

More information

The current economic situation in Germany. Deutsche Bundesbank Monthly Report February 2015 5

The current economic situation in Germany. Deutsche Bundesbank Monthly Report February 2015 5 The current economic situation in Germany Deutsche Bundesbank 5 6 Overview Global economy German economy emerging from sluggish phase faster than expected The global economy looks to have expanded in the

More information

The Master of Science in Finance (English Program) - MSF. Department of Banking and Finance. Chulalongkorn Business School. Chulalongkorn University

The Master of Science in Finance (English Program) - MSF. Department of Banking and Finance. Chulalongkorn Business School. Chulalongkorn University The Master of Science in Finance (English Program) - MSF Department of Banking and Finance Chulalongkorn Business School Chulalongkorn University Overview of Program Structure Full Time Program: 1 Year

More information

The Impact of the Financial Crisis on South Africa

The Impact of the Financial Crisis on South Africa Africa Economists Retreat, December 5, 2008 The Impact of the Financial Crisis on South Africa Phindile Ngwenya and Michele Zini PREM Pretoria Country Office Outline The Economic Background Recent Developments

More information

Insurance and the Macroeconomic Environment

Insurance and the Macroeconomic Environment Insurance and the Macroeconomic Environment Casper Christophersen and Petr Jakubik 1 Abstract Insurance companies play an important role in the financial sector and the availability of insurance products

More information

Switzerland 2013 Article for Consultation Preliminary Conclusions Bern, March 18, 2013

Switzerland 2013 Article for Consultation Preliminary Conclusions Bern, March 18, 2013 Switzerland 2013 Article for Consultation Preliminary Conclusions Bern, March 18, 2013 With the exchange rate floor in place for over a year, the Swiss economy remains stable, though inflation remains

More information

12.1 Introduction. 12.2 The MP Curve: Monetary Policy and the Interest Rates 1/24/2013. Monetary Policy and the Phillips Curve

12.1 Introduction. 12.2 The MP Curve: Monetary Policy and the Interest Rates 1/24/2013. Monetary Policy and the Phillips Curve Chapter 12 Monetary Policy and the Phillips Curve By Charles I. Jones Media Slides Created By Dave Brown Penn State University The short-run model summary: Through the MP curve the nominal interest rate

More information

Narodowy Bank Polski Plan of Activity for 2015 2017

Narodowy Bank Polski Plan of Activity for 2015 2017 Narodowy Plan działalności Bank Polski Plan Narodowego of Activity Banku Polskiego for na lata 2015 2017 2014 2016 Narodowy Bank Polski Plan of Activity for 2015 2017 Warsaw, 2014 Prepared in the Office

More information

Economics and Finance

Economics and Finance 2014-2015 Creighton University Catalog 1 Economics and Finance Economics For the degree of Bachelor of Science in Business Administration with Economics as the field of concentration, this program is designed

More information

Rating Methodology for Domestic Life Insurance Companies

Rating Methodology for Domestic Life Insurance Companies Rating Methodology for Domestic Life Insurance Companies Introduction ICRA Lanka s Claim Paying Ability Ratings (CPRs) are opinions on the ability of life insurance companies to pay claims and policyholder

More information

Programa Nacional de Reformas de España 2016 EXECUTIVE SUMMARY

Programa Nacional de Reformas de España 2016 EXECUTIVE SUMMARY EXECUTIVE SUMMARY Over the last four years, the Spanish Government has put in place an ambitious reform agenda that has transformed the Spanish economy. This agenda has been built over three pillars: fiscal

More information

COUNCIL OPINION on the updated stability programme of Belgium, 2009-2012

COUNCIL OPINION on the updated stability programme of Belgium, 2009-2012 2.6.2010 Official Journal of the European Union C 143/1 I (Resolutions, recommendations and opinions) OPINIONS COUNCIL COUNCIL OPINION on the updated stability programme of Belgium, 2009-2012 (2010/C 143/01)

More information

BOARD OF GOVERNORS FEDERAL RESERVE SYSTEM

BOARD OF GOVERNORS FEDERAL RESERVE SYSTEM BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM WASHINGTON, D.C. 20551 DIVISION OF BANKING SUPERVISION AND REGULATION DIVISION OF CONSUMER AND COMMUNITY AFFAIRS SR 12-17 CA 12-14 December 17, 2012 TO

More information

n The monetary transmission mechanism

n The monetary transmission mechanism n The monetary transmission mechanism by Elisabeth Hopkins, Jesper Lindé and Ulf Söderström Elisabeth Hopkins works at the Modelling Division of the Monetary Policy Department. She has a licentiate degree

More information

COMMISSION STAFF WORKING DOCUMENT EXECUTIVE SUMMARY OF THE IMPACT ASSESSMENT. Accompanying the document

COMMISSION STAFF WORKING DOCUMENT EXECUTIVE SUMMARY OF THE IMPACT ASSESSMENT. Accompanying the document EUROPEAN COMMISSION Brussels, XXX SWD(2014) 18 /2 COMMISSION STAFF WORKING DOCUMENT EXECUTIVE SUMMARY OF THE IMPACT ASSESSMENT Accompanying the document Proposal for a Decision of the European Parliament

More information

Monetary and Financial Aspects of Issuing Public Debt Instruments in Kuwait (1)

Monetary and Financial Aspects of Issuing Public Debt Instruments in Kuwait (1) Monetary and Financial Aspects of Issuing Public Debt Instruments in Kuwait (1) I would like to thank the Faculty of Commerce for arranging this meeting, which I hope will lead to the clarification of

More information

a) Aggregate Demand (AD) and Aggregate Supply (AS) analysis

a) Aggregate Demand (AD) and Aggregate Supply (AS) analysis a) Aggregate Demand (AD) and Aggregate Supply (AS) analysis Determinants of AD: Aggregate demand is the total demand in the economy. It measures spending on goods and services by consumers, firms, the

More information

LIQUIDITY RISK MANAGEMENT GUIDELINE

LIQUIDITY RISK MANAGEMENT GUIDELINE LIQUIDITY RISK MANAGEMENT GUIDELINE April 2009 Table of Contents Preamble... 3 Introduction... 4 Scope... 5 Coming into effect and updating... 6 1. Liquidity risk... 7 2. Sound and prudent liquidity risk

More information