The internationalization of domestic banks and the credit channel of monetary policy

How does the expansion of domestic banks in international markets affect the bank lending channel of monetary policy? Using bank-firm loan-level data, we find that loan growth and loan rates from international banks respond less to monetary policy changes than domestic banks and that internationalization partially mitigates the risk-taking channel of monetary policy. Banks with a large international presence tend to tolerate more their credit risk exposition relative to domestic banks. Moreover, international banks tend to rely more on foreign funding when policy rates change, allowing them to insulate better the monetary policy changes from their credit supply than domestic banks. This result is consistent with the predictions of the internal capital markets hypothesis. We also show that macroprudential FX regulation reduces banks with high FX exposition access to foreign funding, ultimately contributing to monetary policy transmission. Overall, our results suggest that the internationalization of banks lowers the potency of the bank lending channel. Furthermore, it diminishes the risk-taking channel of monetary policy within the limit established by macroprudential FX regulations.

Language Policy in Multilingual Workplaces: Management, Practices and Beliefs in Banks in Luxembourg.

<p>For decades the primary focus of language policy research has been activities by states and their agencies, while language policy activities in workplaces have attracted little attention. Addressing this gap, explicit and implicit dimensions of language policies are investigated in financial institutions operating in the globalised context of international banking in multilingual Luxembourg. Three complementary theoretical frameworks are used to extend language policy research to include not just explicit aspects of language policy (language policy statements), but also implicit aspects (the language practices and beliefs of a community). Spolsky's (2004) theory is used to identify and analyse three components of language policy (management, practices and beliefs); Language Management Theory (LMT) (Jernudd and Neustupny, 1987) is used to explore one specific component of language policy (management), and Shohamy's (2006) framework is used to explore the complex interaction between management, practices and beliefs. The data base for the study comprised two phases: the first phase involved interviews with managers in ten Luxembourg banks regarding language policy, followed in the second phase by questionnaires and focus-group discussions with employees from three case study banks regarding language use and beliefs. This empirical data suggests that even in banks where English has been formalised as the working language, multilingual mechanisms (recruitment and language courses) contribute to employees' practices effectively creating, a top-down multilingual implicit (de facto) policy. The data from international banks in Luxembourg suggests that a flexible approach to language management is useful in workplaces where communication is complex, multi-faceted and dynamic. The bottom-up perspective indicates that employees at international banks use English as a lingua franca (ELF) alongside other languages, negotiating language choice across speech communities and linguistic repertoires, for transactional and relational purposes. These multilingual employees highly value English as the most common language in banks for including and involving all, highlighting its vital role in banks. Because the data provides a strong argument for the consideration of both top down and bottom up perspectives, the results have theoretical significance for our understanding of language policy. Overall, this thesis provides insights into the complex nature of language policy in multilingual workplaces, including the importance of both top-down and bottom-up pressures on language practices, the crucial role of ELF and the relevance of attitudes towards ELF and other languages at local and global levels of management.</p>

Language Policy in Multilingual Workplaces: Management, Practices and Beliefs in Banks in Luxembourg.

<p>For decades the primary focus of language policy research has been activities by states and their agencies, while language policy activities in workplaces have attracted little attention. Addressing this gap, explicit and implicit dimensions of language policies are investigated in financial institutions operating in the globalised context of international banking in multilingual Luxembourg. Three complementary theoretical frameworks are used to extend language policy research to include not just explicit aspects of language policy (language policy statements), but also implicit aspects (the language practices and beliefs of a community). Spolsky's (2004) theory is used to identify and analyse three components of language policy (management, practices and beliefs); Language Management Theory (LMT) (Jernudd and Neustupny, 1987) is used to explore one specific component of language policy (management), and Shohamy's (2006) framework is used to explore the complex interaction between management, practices and beliefs. The data base for the study comprised two phases: the first phase involved interviews with managers in ten Luxembourg banks regarding language policy, followed in the second phase by questionnaires and focus-group discussions with employees from three case study banks regarding language use and beliefs. This empirical data suggests that even in banks where English has been formalised as the working language, multilingual mechanisms (recruitment and language courses) contribute to employees' practices effectively creating, a top-down multilingual implicit (de facto) policy. The data from international banks in Luxembourg suggests that a flexible approach to language management is useful in workplaces where communication is complex, multi-faceted and dynamic. The bottom-up perspective indicates that employees at international banks use English as a lingua franca (ELF) alongside other languages, negotiating language choice across speech communities and linguistic repertoires, for transactional and relational purposes. These multilingual employees highly value English as the most common language in banks for including and involving all, highlighting its vital role in banks. Because the data provides a strong argument for the consideration of both top down and bottom up perspectives, the results have theoretical significance for our understanding of language policy. Overall, this thesis provides insights into the complex nature of language policy in multilingual workplaces, including the importance of both top-down and bottom-up pressures on language practices, the crucial role of ELF and the relevance of attitudes towards ELF and other languages at local and global levels of management.</p>

Cryptocurrencies: technology, initiatives of banks and central banks, and regulatory challenges

This paper analyses the impacts of the innovation known as distributed ledger technology (DLT) on the monetary system and on financial activities. Private cryptocurrencies, such as Bitcoin, are permissionless means of payment, based on blockchain, a form of DLT. Evaluations suggested that these private cryptocurrencies could compete with the banks payment systems and even supplant state currency. The development of these technologies has the potential to modify profoundly monetary and financial practices, but there are no indications that they may threaten the centrality of state money and the banking system in the contemporary monetary order. Major international banks have developed cryptocurrencies for settlement systems and for interbank transactions, including the so-called stablecoins, issued by highly technological companies with on par conversion into state money. Some central banks are studying the launch of state cryptocurrencies that could coexist with their fiduciary state currency and even replace their paper currency. The use of this technology results in new challenges for regulation, including the fact that cryptocurrencies can be used for money laundering and by organized crime.

Fledgling cryptocurrency plans face obstacles in Cuba

Significance Cryptocurrency use could help counter US trade sanctions and offer Cuba a back door to international financial structures. Government plans nevertheless appear underdeveloped, and will face major technological constraints. Impacts Growing cryptocurrency use globally will increase the need for blockchain software to incorporate sanctions screening technology. International banks and companies will continue to avoid traditional banking transactions and correspondence involving Cuba. Private entrepreneurship in the crypto asset business will be heavily regulated by the Cuban authorities.

Analysis of the current situation in the field of electronic services in Syrian banks and prospects for their development

The study is aimed at determining the level of electronic services provided in Syrian banks and identifying the level of their compliance with the trends of modern technological developments. The authors make the comparison of the Syrian banks with the best practices of using information technologies to provide their services by world banks that use the concept of electronic service.The study showed, that despite the banking sector in Syria is striving to be modern and improve along with technological developments, there is a significant reduction in the use of electronic banking. Syrian banks are required to adhere to a sufficient number of material and technical requirements to implement the concept of a real electronic service. Among the priority tasks the authors highlight the expansion of the use of electronic money in the country, the network of ATM machines, bank cards. However, in order to reach the level of global banks, it is important to move to a digital omnichannel development strategy.As an example of the implementation of ecosystem projects, the paper considers some of leading Russian companies that build their ecosystem around customers based on the principle of “Lifestyle Banking”. Based on Russian practice, the article presents a number of recommendations that will improve the electronic banking of Syria. This will allow the country not only to restore the banking system, but also give the opportunity to keep up with global technological advances, as well as compete with international banks.

Central banks will prioritise fuelling the recovery

Headline INTERNATIONAL: Banks will prioritise the recovery