Template-Type: ReDIF-Paper 1.0
Author-Name: Sarah Bell
Author-X-Name-First: Sarah
Author-X-Name-Last: Bell
Author-Name: Michael Chui
Author-X-Name-First: Michael 
Author-X-Name-Last: Chui
Author-Name: Tamara Gomes
Author-X-Name-First: Tamara
Author-X-Name-Last: Gomes
Author-Name: Paul Moser-Boehm
Author-X-Name-First: Paul
Author-X-Name-Last: Moser-Boehm
Author-Name: Albert Pierres Tejada
Author-X-Name-First: Albert 
Author-X-Name-Last: Pierres Tejada
Title: Why are central banks reporting losses? Does it matter?
Abstract: Rising interest rates are reducing profits or even leading to losses at some central banks, especially those that purchased domestic currency assets for macroeconomic and financial stability objectives.
Losses and negative equity do not directly affect the ability of central banks to operate effectively.
In normal times and in crises, central banks should be judged on whether they fulfil their mandates.
Central banks can underscore their continued ability to achieve policy objectives by clearly explaining the reasons for losses and highlighting the overall benefits of their policy measures.
Length: 9 pages
Creation-Date: 2023-02-07
File-URL: https://www.bis.org/publ/bisbull68.pdf
File-Format: Application/pdf
File-Function: Full PDF document
File-URL: https://www.bis.org/publ/bisbull68.htm
File-Format: text/html
Number: 68
Handle: RePEc:bis:bisblt:68