The OMFIF Podcast

In this engaging discussion, Max Castelli, head of strategy for sovereign institutions at UBS Asset Management, delves into the evolving role of the U.S. dollar against a backdrop of potential dedollarisation. He highlights Saudi Arabia’s notable decision to join the mBridge multi-currency CBDC platform, exploring the implications for the dollar's future and the competition posed by emerging currencies like the RMB. Castelli analyzes the risks to dollar supremacy amid global geopolitical shifts and innovations in financial systems.

Flavio Carpenzano, Fixed Income Investment Director at Capital Group, dives into the intricacies of the investment-grade credit market. He highlights the record $1.4 trillion issuance in 2024 and discusses how credit spreads are compressing amid high demand. The conversation also covers the differing dynamics of the U.S. and European markets, the impact of geopolitical risks, and future opportunities as easing monetary policies take effect. Expect insights on navigating potential volatility and strategic security selection in this evolving landscape.

Bitcoin's price has surged following Donald Trump's victory in the US election. Trump's campaign was calculated to appeal to the crypto world, so the move comes as no surprise, but what are policy changes can we expect and do they warrant this kind of explosive price action? To discuss these questions, Lewis McLellan, editor of the Digital Monetary Institute at OMFIF, is joined by Brian Whitehurst, head of regulatory affairs at Lukka, Suzanne Morsfield, global head at Lukka, and Dorothy DeWitt, chief executive officer of Tölt Strategies and former director of market oversight at the US Commodity Futures Trading Commission.

A recent OMFIF-EY report on the future of public money outlines the need for governments to embrace new ideas, frameworks and technology. Joining Nikhil Sanghani, managing director, Economic and Monetary Policy Institute at OMFIF, is Mark MacDonald, global public finance management leader at EY, and Joachim Schwerin, principal economist, DG GROW at the European Commission. They discuss why governments should embrace new technology as well as how blockchain and artificial intelligence can improve public finance outcomes, the need for greater understanding and the importance of public-private partnerships.

Anne Simpson, global head of sustainability at Franklin Templeton, joins Emma McGarthy, head of OMFIF’s Sustainable Policy Institute, to assess the role of public pension and sovereign funds in transition finance. They also discuss the work of the Transition Finance Working Group, which has spoken with 12 of the biggest funds on their transition strategies and challenges. The working group conversations have been distilled into a research report by OMFIF, which will be launched at a seminar during COP29.   To join OMFIF, Franklin Templeton and global public funds at COP29, register here.   To read more about OMFIF's Transition Finance insight, click here.

2024 has seen exciting developments in the wholesale central bank digital currency space. Abbas Albasha, senior strategy consultant for CBDC at Giesecke+Devrient, joins Lewis McLellan, OMFIF's Digital Monetary Institute editor, to discuss the value that wholesale CBDC can offer economies, how they can integrate with other forms of money including retail CBDC and some of the challenges those looking to implement them are facing.

Many in capital markets have long been expecting an overhaul in how their business functions from the disruptive effects of digital assets technology. So far, these effects have not been substantial outside isolated pockets where implementation has leaped ahead. But many believe we are approaching an inflection point and that dramatic changes are about to arrive for financial market infrastructure. Kate Karimson, R3's chief commercial officer, joins Lewis McLellan, OMFIF's Digital Monetary Institute editor, to discuss what these changes will look like.

In early September 2024, the European Commission published the long-awaited ‘The future of European competitiveness: Report by Mario Draghi', which examines in detail the challenges faced by European industry and companies in the single market. OMFIF lead economist Taylor Pearce hosts Bill Papadakis, macro strategist at Lombard Odier, to discuss the structural and macro trends the EU economy is contending with and how these are impacting key areas of the economy and financial system.

One of the major structural factors impacting government financing is the massive scale of public money needed to ensure the transition to a carbon neutral economy. How are trends in government debt issuance evolving as they relate to sustainability? Alex Caridia, head of public sector markets at RBC and Heather Taylor, partner, climate change and sustainability at EY, join OMFIF lead economist Taylor Pearce to discuss. The conversation is a part of OMFIF’s workstream on the Future of public money project. 

At present, in most jurisdictions, only commercial banks are able to provide final settlement of payments as the only institutions with access to central bank reserves. However, new business models have emerged that unbundle the business of creating money and payment services from the provision of credit. Should payments be unbundled from banking? Circle's chief economist Gordon Liao and OMFIF's Digital Monetary Institute editor Lewis McLellan discuss the regulatory treatment of stablecoins and consider which institutions can access central bank payment systems and under what conditions.