COVID-19
The IMF is fully committed to supporting our member countries, particularly the most vulnerable; we have the tools to help; and we are coordinating closely with our partner institutions.
Since the transition to inflation targeting (IT) in 2015, the National Bank of Kazakhstan (NBK) has substantially improved its transparency and communication practices. The NBK commitment to transparency is embedded in strategic documents—the 2030 Monetary Policy Strategy, Communication Strategy, and Macroprudential Policy Strategy. Stakeholders consistently acknowledged the NBK as a national leader in promoting transparency, commending its proactive stance on openness, timely dissemination of information, and strong commitment to constructive engagement with the public and institutional partners.
This paper studies the transmission of U.S. monetary policy to domestic monetary policy in CAPDR countries and the role of international reserves, with a focus on Guatemala. First, using Taylor-rule estimates, the paper documents that the co-movement between U.S. and domestic policy rates has increased over the last two decades, conditional on domestic economic conditions. Next, using local projections based on high-frequency U.S. monetary policy surprises, the paper finds that Guatemala’s policy rate responds positively but moderately to U.S. shocks, indicating that stronger co-movement does not necessarily imply reduced monetary policy autonomy. Cross-country results suggest that stronger reserve buffers are associated with smaller domestic policy rate responses to contractionary U.S. shocks and greater use of reserves to absorb external pressures. The findings highlight reserves as a complementary policy tool that can help preserve monetary policy space in small open economies.
Austria’s macroprudential framework has matured since the pandemic, but continued vigilance and proactive adaptation are needed to safeguard financial stability. The authorities have built a collaborative institutional setup involving the Oesterreichische Nationalbank (OeNB), Financial Market Authority (FMA), and Ministry of Finance (BMF), with the Financial Market Stability Board (FMSB) as the central decision-making body. The financial sector is resilient, with high profits and robust capital levels, supported by active use of macroprudential measures such as systemic risk buffers and borrower-based regulations. However, rising risks in the commercial real estate (CRE) sector, ongoing geopolitical tensions, and evolving European regulatory requirements underscore the need for Austria to maintain a strong, adaptive macroprudential framework.
This Technical Note (TN) summarizes the main conclusions of the targeted review of banking regulation and supervision in Austria. This targeted review mainly focuses on how effectively and adequately risk-based supervision of “Less Significant Institutions” (LSIs) is implemented in Austria, considering the proactive application of the principle of proportionality to the large number of LSIs. Based on the applicable international standards (the revised Basel Core Principles), in the institutional context of the Eurosystem, the 2026 Austria Financial Sector Assessment Program (FSAP) has leveraged the results of the 2025 Euro Area FSAP and is limited to LSIs. Significant legal and regulatory reforms have been implemented in Austria since the previous FSAP, and supervisory authorities have implemented strategic internal reforms adapted to their evolving supervisory needs. The partial implementation of the 2020 Austria FSAP recommendations on banking regulation and supervision has been assessed in that updated context.
Authors probe complex issues to shed light on global economic challenges
After restoring stability, Argentina needs to turn hard-won gains into lasting prosperity
Sustained rebalancing requires policy action in both surplus and deficit countries
Stronger oversight, better data, and deeper coordination are needed to safeguard faster and more interconnected markets
With the rise of more expansive investment models, it is time to renew focus on sound legal frameworks
Less demand, more production, and inventory drawdowns prevented a larger price spike. A quick supply recovery is essential to avoid further damage to the global economy
