This year there’s going to be an unheralded changing of the guard in central banks around the world, including two new incumbents at the SA Reserve Bank, 11 at the European Central Bank and two new Governors on the US Federal Reserve Board. This high stakes game of musical chairs is taking place at a time when the pros and cons of central bank independence are under the spotlight, up for heated debate and, in some corners, under attack.
In Europe, 11 members of the European Central Bank Governing Council, six of whom are members of the Executive Board, including President Mario Draghi, will be changing places during a year when elections take place and major politicking is likely. This means the stakes are high for central bank independence, given the ECB is the only effective pan-European policy-making body
The challenges Kyanyago has confronted during his time at the helm of the bank highlight the much wider ambit to which central bank powers have extended post the crisis, with many central banks now responsible for financial stability and bank supervision, as well as monetary policy. The deep debate and research that have gone into these considerations have been triggered by the fact that the monetary policy environment has changed unalterably since the 1970s. In the decades before the 2008 crisis, the key priority was to bring inflation down to a level where it wouldn’t be noticed by the public. Central banks successfully did that, led by the US, where consumer inflation came off its 13.9% high in 1979 and fell to 3.8% just three years later.
Their conclusion is that the choice of the inflation target should be within the purview of the government and the central bank should be operationally independent in its efforts to meet that target.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
United States United States Latest News, United States United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Business Maverick: ANALYSIS: This Commodities Rally Has Legs, Thanks to China:Iron ore’s glory days seem to be back. But can it last? Commodities analyst David Fickling thinks it can.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Apple Puts Need for 5G Ahead of Legal Fight in Qualcomm DealApple Inc. put its flagship product, the iPhone, ahead of distaste for the way Qualcomm Inc. does business in settling a bitter, two-year legal dispute with the chipmaker.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: S. Africa Reserve Bank Says Too Early to Claim Inflation WinSouth Africa’s central bank says it’s premature to claim victory in the war against inflation and sees price growth stabilizing at 4.5 percent only by the end of 2021.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Thursday April 18: Five Things You Need to Know to Start Your DayChina and the U.S. schedule yet more tariff talks. Corporate earnings, not trade, remain the focus for markets. And a special note to readers: We're planning to make the redacted Mueller report available soon after the Department of Justice releases it on Thursday. Here are some of this morning’s key stories.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: SA Decline Worst of Nations Not at War, Model ShowsSouth Africa’s performance on a range of social, economic and governance measures deteriorated more in the past 12 years than any other nation not at war, according to Eunomix Business & Economics Ltd. please give us another chance MYANC such an achievement. Thanks to the ANC. But don’t for one moment think that the EFF will be saviors. They will be worse. This says it ALL!
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Pinterest Tops Targeted IPO Range to Raise $1.4 BillionPinterest Inc. raised about $1.4 billion in its initial public offering, pricing its shares above a targeted range as the year’s tech unicorn stampede gains momentum.
Source: dailymaverick - 🏆 3. / 84 Read more »
BUSINESS MAVERICK - HEALTH : High noon for Tiger Brands as summons issued in listeriosis class action lawsuitThe deadly listeriosis outbreak, which hit South Africa hard, is starting to play out before the courts. South African human rights attorney Richard Spoor, who is well-known for his razor-sharp tongue, is hauling Tiger Brands to court by the tail. He is asking the high court to award members of a class action lawsuit punitive or constitutional damages.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Wednesday April 17: Five Things You Need to Know to Start Your DayTrump’s trade negotiations stir alarm, US stocks rise, Indonesia goes to the polls. Here are some of the things people in markets are talking about.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Credit Suisse Seeks to Seize Nigerian Oil Trader’s Three London HomesCredit Suisse Group AG has already taken Nigerian oil trader Igho Sanomi’s private jet. Now it’s coming for his London apartments.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: OPEC Gambles With Success of Production Cuts as $80 Oil LoomsAfter managing to revive oil prices through production cutbacks, OPEC now risks squandering its victory again by letting crude surge too high.
Source: dailymaverick - 🏆 3. / 84 Read more »