Sovereign Debt Holding and Bank Sensitivity toward Market Risk: An Alternative View of the Bank-Sovereign Problem Government bonds have always been a popular type of investment for banks. However, this trend has been further enhanced by the provisions of numerous banking regulations aimed at promoting investment in these securities. .. more IJCB (2022-12-05) |
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Stablecoins and Their Risks to Financial Stability What risks could stablecoins pose to the financial system? We argue that the stabilization mechanisms of stablecoins give rise to the risk of confidence runs, which can propagate to broader cryptoasset markets and the tr .. more Bank of Canada (2022-12-05) |
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Fiscal Crises: The Role of the Public Debt Investor Base and Domestic Financial Markets as Aggravating and Mitigating Factors The paper evaluates the key drivers of fiscal crises in a sample of countries from all three income groups?advanced, emerging, and low-income countries, using fiscal crisis data recently developed by the IMF’s Fiscal Aff .. more IMF (2022-12-02) |
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