Policy Papers on the Future of Central Banking

Central banks are key actors for the transformation of our current economic system. Ahead of our conference Next Generation Central Banking, we have therefore published reports on specific aspects of central bank reform and their potential transformative role.

The report by Benjamin Braun explores the predominant focus of central bankers on inflation and asks whether this narrow agenda has ever been met or should be renewed against the current socio-economic challenges.

The report by Jens van’t Klooster analyses the democratic deficit that central banks like the ECB face and discusses potentials for a stronger democratic accountability of the European Central Bank.

The report by Daniela Gabor argues that monetary financing – central banks buying large amounts of government debt – has returned and is likely here to stay. Now it needs a framework for ‘cooperation without subordination’ where governments and central banks fight societal challenges together. The climate crisis is the most pressing.

Already in 2020, Joscha Wullweber has written a report for Transformative Responses in which he analyzes the crash on financial markets following the first lockdown and to which extent this has increased the inherent instabilities of global finance.