Sunday, June 26, 2016

Bri: banks have the means to act quickly – Il Sole 24 Ore


“The central banks have already made it clear that they are closely monitoring the situation and are ready to take the necessary measures to ensure the orderly functioning of markets.
In the past they have shown they can act quickly and have access to all the tools to do it even now. ” He said the general manager of the Bank for International Settlements Jaime Caruana
Annual General Meeting of the Bank about the Brexit.
The outcome of the referendum “has resulted in high volatility in the markets” , he highlighted Caruana, noting that “the UK is closely integrated world economy
and hosts one of the largest global financial centers.”
“The central banks – has found the general manager of Bri – have implemented extensive, detailed contingency plans to handle disturbances in financial markets. In the private sector, the presence of liquidity facilities and more robust capital for banks increase the resilience of key financial systems

” It is likely that there will be a period of uncertainty and adjustment ” after the referendum on the EU in the United Kingdom, Caruana said in his speech, stressing that “good cooperation and global coordination will be critical to ensure that the uncertainty is low and the adjustment proceed as smoothly as possible . I
reason to believe that it will. ”

Moreover, the general manager of the “central bank of central banks” emphasized that the demands on central banks have increased dramatically in recent years, the fight against unemployment to economic growth, the stability of inflation the sustainability of the banks: “The mandate has become too extensive,” is confused with that of governments and other institutions, and serves “to draw a line of separation” of responsibility.

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