Digital currencies issued by central banks could strengthen the effectiveness of monetary policy transmission, but at the same time they pose a threat to financial stability – writes the Bank for International Settlements (BIS)...
Artificial intelligence (AI) and machine learning will help to predict the economic indicators that are the foundation for the conduct of monetary policy, but robots will not replace central bankers.
Even the representatives of the banking sector are openly admitting that the traditional role and model of banks will undergo significant changes in ten or more years.
Along with the development of the cryptocurrency market there is a growing interest in this area among legislators and regulators, but the adopted approach varies between individual countries.
The economic policy leaders participating in the annual meetings of the IMF and the World Bank called on central banks to continue policies based on low interest rates.
The new requirements of the MiFID II Directive, which enters into force on January 3rd, 2018, will significantly change trade of shares, bonds and derivatives in the European Union.
The consequence of the financial crisis is a change in consumer protection in the financial market, which so far has played a secondary role in the introduced regulatory standards and supervisory practices.
Following the financial crisis, macro-prudential regulation has become the third pillar of financial policy alongside micro-prudential regulation and monetary policy.
Over the next three years the heads of six governors central banks around the world will be replaced. Their successors will have face difficult challenges.