Discussion Notes

Changing Landscapes for Central Banks and Financial Regulators

| 14 March 2019
Discussion Notes, Monetary | Tags: Central Banks, Governing Finance
This discussion note is an extended version of the introductory comments shared by the author at a CEP roundtable on “Governing Finance and Sustainability” in January 2019. It addresses in order the four issues raised in the convening’s agenda. First, what are the historical origins ... continue reading

Integrating Climate Risks into Credit Risk Assessment: Current Methodologies and the Case of Central Banks Corporate Bond Purchases

| 21 December 2018
Discussion Notes, Monetary | Tags: Climate risk, Credit risk, ECB Corporate Sector Purchase Programme
Climate change, and the transition to a low-carbon economy that can mitigate it, engender significant economic costs. These costs are ultimately borne by households and firms. They affect households’ and firms’ cash flows and wealth, which are key determinants of their credit worthiness. Climate-related costs ... continue reading

Assessing Tax Expenditure Reporting in G20 and OECD Economies

and | 6 November 2018
Discussion Notes, Fiscal | Tags: G20, OECD, Tax Expenditures
Governments worldwide pursue public policy objectives through direct spending and tax expenditures (TEs). Interestingly though, and despite their significant impact on government budgets, TEs are opaque and very often not subject to the same level of scrutiny in the budget process as direct spending. This ... continue reading

Energy Tax Expenditures in a Globalized Economy

and | 9 May 2018
Discussion Notes, Fiscal, Trade | Tags: Energy, Tax Competition, Tax Expenditures
Countries around the world have introduced energy taxes to expand revenues, reduce energy consumption and curb greenhouse gas emissions. In that context, they have frequently also implemented tax provisions to lower the energy tax bill for certain industries, households and regions. Tax exemptions and deductions ... continue reading

Central Banks and the Transition to a Low-Carbon Economy

| 22 March 2018
Discussion Notes, Monetary | Tags: Central Banks, Environment, Macroprudential Regulation, Quantitative Easing
Climate change is a fundamental challenge for our societies. Containing it will require a profound and radical transformation of our economic system, including a substantial reorientation of investments toward low-carbon technologies. The question to what extent central banks can and should contribute to this effort ... continue reading