Discussions of financial risk often fail to distinguish between risks that are consciously borne and those that are not. To understand the breeding conditions for financial crises the prime focus of concern should not be simply on large risk-taking per se, but on the unintended, or unanticipated...

This paper presents a new version of MAPMOD (Mark II) to study the effectiveness of macroprudential regulations. We extend the original model by explicitly modeling the housing market. We show how household demand for housing, house prices, and bank mortgages are intertwined in what we call a...

Macroprudential policy is increasingly being implemented worldwide. Its effectiveness in influencing bank credit and its substitution effects beyond banking have been a key subject of discussion. Our empirical analysis confirms the expected effects of macroprudential policies on bank credit,...

This technical note discusses Sweden's Oversight and Supervision of Financial Market Infrastructures and Selected Issues in Payment Systems. Digitalization of payments has been rising steadily in Sweden. In addition to the continuous digitalization of payments, Sweden is undergoing a major...

Since the 2008 Financial Sector Assessment Program (FSAP), the financial sector of the West African Economic and Monetary Union (WAEMU) has undergone major changes that have altered its risk profile. Three structural changes have played a key role since the 2008 FSAP: (i) the financial sector...

Clearstream Banking Frankfurt (CBF) is a highly interconnected financial market infrastructure that provides a critical service for German financial markets and beyond. CBF is the central securities depository (CSD) in Germany providing mainly custody and settlement services, having received its...

Sources of systemic financial risk change across countries and over time. Multiple features need to be considered when making macroprudential policy choices, such as the depth of the financial system, the institutional background, the existing governance framework, and the links between...

Drawing on a recent survey of emerging market economy central banks, this note highlights the different channels through which the influence of macroprudential measures can extend beyond national borders, and discusses the need and scope for international cooperation of macroprudential...