What unites Jaime Caruana, the head of the Bank for International Settlements (BIS), Stanley Fischer, a veteran monetary official and now vice-chairman of the Fed, and Elvira Nabiullina, the Russian central bank governor?
On the face of it, not much. After all, the BIS continues to blast the Fed’s bubble-inducing monetary policies, which it says is leading the developed world into mutually assured currency destruction. Meanwhile, Russia and the US are in the midst of a new Cold War, with international finance as the key battleground.
The rapprochement centred on mutual appreciation of inflation-targeting regimes and flexible exchange-rates to facilitate terms-of-trade shocks in emerging markets – the principal rationale for the Russian governor’s award.
The reception also brought together three generations of Bank of Israel chiefs: the current governor, Karnit Klug, her predecessor, the Fed’s Fischer, who holds dual Israeli-American citizenship, and Jacob Frenkel, now chairman of JPMorgan Chase International.
We look forward to what Euromoney’s sphere of influence brings next year.