IMF Says Central Banks’ Broader Mandates May Reduce Independence

April 7 (Bloomberg) -- Central banks that introduced tools other than policy interest rate to guide economies may find expanded roles imperil their political independence, says IMF staff.

* “Independence is clearly still desirable with regard to

price stability,” may prove “politically difficult under

expanded central bank mandates” IMF * Critical issue facing central bankers may become “how to

protect the independence of monetary policy decisions if the

government chooses to exercise greater oversight on new

central bank responsibilities, notably in the financial

stability arena” * Story Link:NSN N3NY3H6TTDS2<GO>

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To contact the reporter on this story: Julie Alnwick in New York at +1-212-617-8960 or jalnwick@bloomberg.net To contact the editors responsible for this story: Madeleine Lim at +1-212-617-2296 or mlim131@bloomberg.net

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