European Central Banking Network

Friday, February 16, 2018

 

About

The Bank of Slovenia in cooperation with CEPR established the European Central Banking Network (ECBN) in 2015. ECBN is an initiative launched to foster cooperation among researchers of participating central banks, academics and policy-makers on major topics relevant for central banks in Europe and even wider in a given year.

Objective

The main objective is to examine national experiences by comparing both the contents of national policy-designs as well as methodological approaches employed in analysing them.

Events

The main activities include two research events per year: a spring workshop hosted by one of the participating central banks and an autumn research conference traditionally organised by the Bank of Slovenia. By introducing the theme of the year through presentations of leading academics and financial institutions researchers, the workshop sets the ground for the conference, where researchers from participating central banks papers present their recent work on the selected topic. In 2016-17, these events are accompanied by specialised training activities organised by Florence School of Banking and Finance specifically for the network. 

  • 2018 - "Cross-Border Aspects of Macroprudential Policies"

Workshop

The National Bank of Belgium organised the workshop on cross-border aspects of macroprudential policy, on 23 March 2018 in Brussels. Giving due consideration to the cross-border aspects of systemic risk and macroprudential policy is indeed crucial for ensuring the effectiveness and efficiency of instruments dealing with systemic risk. This is of particular relevance in the European integrated market where consistency and coordination of macroprudential policy are important. The programme of the workshop, including the presentation and discussion of the eight papers, is available here. 

Conference

On 18 and 19 October 2018, the Bank of Slovenia organised and hosted the Fourth International Conference of the European Central Banking Network (ECBN). The conference was devoted to the cross-border aspects of macroprudential policy and featured presentations by experts from 13 different central banks.

The participants were welcomed with an address by Primož Dolenc, deputy-governor of the Bank of Slovenia. He emphasised that when designing macroprudential policy it is necessary to be aware that systemic risks can spread from country to country along different channels, either directly via banks’ exposures to risk in the rest of the world, or indirectly via financial markets and networks. Among the speakers was also Prof Martin Hellwig, a renowned German economist and head of the Max Planck Institute.

The research presented at the conference offered numerous findings of relevance to macroprudential policymakers. For example, the issue of indirect contagion, which threatens practically all banks in the global financial system without them having an awareness of its dimensions, and which is not addressed to a sufficient extent by existing tools for identifying systemic risks or by macroprudential instruments. Several papers confirmed the hypothesis of the spill-over of the effects of capital-related, liquidity-related and borrower-focused macroprudential instruments to other countries. The effects are most often seen in reduced lending activity in other countries, or in the transfer of riskier activities to the rest of the world. Several authors gave evidence for the success of the coordination of macroprudential policy measures in the European Economic Area, while other papers illustrated the great need for the coordination of measures in the area of financial stability outside this zone. Macroprudential policy and the intensity of macroprudential policy action remain strongly dependent on the current orientation of monetary and fiscal policy. The optimal level of capital buffers is higher in fiscally weak countries than in other countries.

To access the papers from the conference, please use the following link.

  • 2017 - "Evaluating the Effectiveness of Macroprudential Policies

The topic for the 2017 conference was "Evaluating the Effectiveness of Macroprudential Policies. The ECBN expanded its activities this year by adding another event – a specialized training specifically for the network.

Workshop

The successful workshop, organized by the Central Bank of Ireland in Dublin in February 2017, covered various aspects related to macro-prudential policies, in particular: the international evidence on the use and effects of macroprudential policies and the potential of different classes of models (VAR and general equilibrium models) to capture macro-prudential policy impact on GDP and on specific markets (such as housing) and its interaction with monetary and fiscal policies.

Training

The Florence School of Banking and Finance (FBF) offered a course on the empirical methods to evaluate financial regulation and a course on the main implementation challenges that can significantly undermine macroprudential policy effectiveness.

Conference

The Bank of Slovenia hosted the third European Central Banking Network (ECBN) Policy Research Conference in Ljubljana, Slovenia, 14 - 15 September 2017. The event brought together a group of researchers from 18 central banks, senior officials of other international financial institutions and leading academics to present and discuss policy-oriented research on “Evaluating the Effectiveness of Macroprudential Policies. The proceedings appear on this webpage.  

  • 2016 - “Macroprudential Instruments and Financial Cycles”

The topic for 2016 was “Macroprudential Instruments and Financial Cycles” and the Network expanded its activities by organizing two events: a workshop and a conference.

Workshop

The first workshop was organized by the Central Bank of the Republic of Turkey on 21 and 22 March 2016 in Istanbul. 

Conference

The Bank of Slovenia hosted the second research conference of the ECBN on 29 and 30 September 2016. The conference brought together a group of researchers from 25 European central banks, senior officials of other international financial institutions and leading academics. The proceedings appear on this webpage.

  • 2015 - “The Allocation of Credit Before and After the Great Recession: Implications for the Real Economy”

Conference

The first research conference of the Network, hosted by the Bank of Slovenia on 1 and 2 October 2015 in Ljubljana, centred around the theme “The Allocation of Credit Before and After the Great Recession: Implications for the Real Economy”. The conference was the first step in providing the forum for learning about the diverse experiences of countries, identifying the similarities and differences, and drawing lessons for policy formulation. It brought together a group of researchers from 19 European central banks, senior officials of other international financial institutions and leading academics.The proceedings appear as an e-book in a dedicated CEPR series.


The Director of this CEPR Network is Fabrizio Coricelli (Professor, Paris School of Economics and CEPR). CEPR’s role in the Network will be to help publicise the conferences, manage a Conference Website and to produce a new annual ePublication series based on the conference papers.