Call for Papers

Board of Governors of the Federal Reserve System, European Central Bank, Federal Reserve Bank of Dallas and Hong Kong Institute for Monetary Research

"Diverging monetary policies, global capital flows and financial stability"

Hong Kong, Thursday, October 15 to Friday, October 16 2015

The Hong Kong Institute for Monetary Research, the Board of Governors of the Federal Reserve System, the European Central Bank and the Federal Reserve Bank of Dallas are organising a one-and-a-half-day conference on “Diverging monetary policies, global capital flows and financial stability” in Hong Kong on Thursday, 15 October and Friday, 16 October 2015.

In response to the global financial crisis of 2007-08 and the subsequent euro area debt crisis, almost all of the largest central banks quickly pushed their policy rates to the effective lower bound, where they continue to stand today. In an effort to provide further policy accommodation and support economic growth, several of these central banks have engaged in unconventional monetary policies. These include large-scale asset purchase programmes and forward guidance about the likely future path of monetary policy. In addition, aggressive policy actions by some central banks have put downward pressure on the foreign exchange value of their currencies, prompting concerns about “currency wars”.

Diminishing slack in some of the larger advanced economies has hastened the prospect of monetary policy normalisation. Early hints that the Federal Reserve System would gradually end its last large-scale asset purchase programme precipitated a major response in global financial markets. That programme has now ended, and there is a broad expectation that policy rates will start to rise in the not too distant future.

However, not all of the major economies are on a steady path of recovery. Some larger central banks are still engaged in further loosening monetary policy, so it is likely that there will be a period of diverging monetary policies among the major central banks. This could have a profound impact on global capital flows, exchange rates and financial stability.

In organising this conference, we are particularly interested in receiving papers that address (but are not limited to) the following topics:

  • the relationship between monetary policy stances, international capital flows and exchange rates;
  • divergent monetary policies and their implications for global financial stability;
  • spillovers from the policies of major central banks to other parts of the world, and the costs and benefits of global policy coordination;
  • bank flows to emerging market economies and their influence on the availability of credit, both in domestic and foreign currencies;
  • the international transmission of monetary policy through financial and trade channels;
  • the implications of financial interconnectedness for the global financial cycle and monetary control;
  • the international implications of monetary policy frameworks with interest on reserves;
  • the importance and implications of foreign currency swap lines between central banks;
  • the impact of forward guidance on interest rate and inflation expectations.


Stephen Cecchetti, (Brandeis University)
Hongyi Chen, (Hong Kong Institute for Monetary Research)
Luca Dedola (European Central Bank)
John Rogers (Board of Governors of the Federal Reserve System)
Mark Wynne (Federal Reserve Bank of Dallas)

Please submit the full paper with an abstract in pdf format by e-mail to, using the name of the author(s) as the filename of the paper, and enter “Paper submission for BoG-ECB-FRB-HKIMR joint conference” as the subject line. The organisers will select the papers based on originality, analytical rigour and policy relevance.

The deadline for paper submission is 30 June 2015 (authors of accepted papers will be informed by 31 July 2015). Economy-class travel and local accommodation for speakers and discussants from academic institutions will be funded by the local organiser.