Publications

Avoiding a Household Debt Crisis with a Targeted Policy Response

| 8 January 2021
Blog, Fiscal | Tags: Covid-19, Debt, Income Tax, Unemployment
The economic effect of the Covid-19 pandemic varies highly across industrial sectors, education levels and income groups, adding further to inequality across the globe. This calls for highly targeted policy responses for the sake of fiscal prudence and to avoid further economic and financial hardship ... continue reading

Climate Financial Risks: Assessing Convergence, Exploring Diversity

, and | 9 December 2020
Discussion Notes, Monetary | Tags: Climate Risk, Financial Supervision, Monetary Policy Operations, Risk Metrics
Climate risks are now fully recognized as financial risks by asset managers, investors, central banks, and financial supervisors. As a result, the integration of climate risk metrics into risk management processes is moving up agendas worldwide. In that context, a rapidly growing number of market ... continue reading

COVID-19 and Inequality: The Urgent Need for Tax Expenditure Reform

and | 24 November 2020
Blog, Fiscal | Tags: Covid-19, Inequality, Tax Expenditures, Tax Reform
The economic impact of COVID-19 is both unprecedented and far-reaching. There is now little doubt that the pandemic will disproportionally hit the worse-off, hence exacerbating inequality. It is also clear that the pandemic is particularly affecting groups and sectors that were already under significant stress ... continue reading

Central Banks Must Upgrade Their Risk Management

| 23 November 2020
Blog, Monetary | Tags: Central Banks, Climate Change, Climate Risk
The COVID-19 crisis is a stark reminder of how sharply asset values can shift. Amid a crashing demand for oil and gas, giant energy companies like BP, Chevron and Shell massively wrote down the value of their assets. And those that did not, like Exxon, ... continue reading

Central Bank Market Neutrality is a Myth

and | 16 October 2020
Blog, Monetary | Tags: Asset Purchases, Central Banks, Climate Change, Foreign Exchange Reserves, Market Neutrality
Christine Lagarde, the President of the European Central Bank (ECB), this week raised the critical question whether, in view of market failures, market neutrality should remain the guiding principle driving central banks’ policy portfolio management. Her spotlight on market neutrality underscores growing and overdue scrutiny ... continue reading