Bank Policy Institute

Poland's central bank is described as trapped in a political contest, according to the Financial Times. The report highlights growing tensions around the institution, suggesting its independence is under pressure amid a broader struggle over political influence in Poland. The row adds to scrutiny of the bank's leadership and policy decisions at a sensitive moment for the country's economy and institutions.

Civil society organisations are pressing the Asian Infrastructure Investment Bank to strengthen its standards on climate action, infrastructure lending, and institutional accountability. The challenge calls on the bank to raise commitments beyond current policies as it faces scrutiny over how its projects align with climate goals and community safeguards. Advocates argue the multilateral lender should set a higher bar for transparency and environmental responsibility.

The Bank Policy Institute argues that banks should be able to rely on the Federal Reserve's discount window for emergency liquidity, but only if regulators make it easier for them to do so. The piece contends that supervisory stigma and operational barriers still deter healthy banks from pre-positioning collateral and testing access, leaving the financial system more fragile in a crisis. It calls on regulators to support, not penalise, banks that prepare to use the window.

The Hoover Institution has released a discussion examining how the Federal Reserve should respond to supply shocks, pairing the policy question with an inside account of what takes place during Federal Open Market Committee meetings. The piece weighs whether the central bank should look through price pressures driven by supply disruptions rather than tighten policy, and offers a rare window into FOMC deliberations.

Commentary from Green Central Banking argues Europe has reached a decisive point on climate resilience, with adaptation and financial preparation for climate risks moving to the centre of policy debate. The piece suggests institutions and regulators across Europe are now treating climate preparedness as an immediate priority rather than a distant concern.

The Bank Policy Institute argues that reserve balances should be replaced, and that banks' pre-positioned collateral capacity at the Federal Reserve's discount window should be backed by loans rather than Treasuries. The proposal is aimed at improving how banks access emergency liquidity, a debate reignited by recent banking stress and the role of the discount window as a backstop.

Sudanese news outlet Sudan Horizon is reporting on General Abdel Fattah al-Burhan in connection with the Central Bank of Sudan. The headline gives no further details on whether the story concerns currency policy, banking decisions, or the bank's operations during the ongoing conflict. Attention on Sudan's financial institutions continues as the country's war drags on and the economy deteriorates.

The governor of Mexico's central bank, Banxico, said the institution can chart its own interest rate path independently of the US Federal Reserve. The statement signals that Mexican monetary policy decisions will be driven by domestic inflation and economic conditions rather than automatically following the Fed's moves. It comes as markets watch whether emerging-market central banks will diverge from US rate policy.

A vice president of the European Investment Bank said investment in Ukraine cannot wait, stressing the urgency of financing reconstruction and recovery despite the ongoing war. The remarks underline pressure on European institutions and partners to commit funds quickly, with the country's needs growing and delays carrying mounting costs.

Paulina Dejmek-Hack has been appointed the new head of the European Commission's financial services department, putting her in charge of the EU's financial crime policy agenda. The appointment covers anti-money laundering and related rulemaking at a time when the bloc is overhauling its financial crime framework. Observers in the compliance and banking sectors are watching closely for how she steers implementation of the new AML regime.