Bloomberg The Bank of Canada plans to buy for the first time government-backed mortgage bonds in a bid to broaden the range of high-quality assets in its operations to manage its balance sheet. The move, which is part of a decision of including government-guaranteed debt issued by federal Crown corporations, will allow Ottawa-based central bank to offset continued growth in …

Bloomberg The South African Reserve Bank increased its benchmark interest rate for the first time in more than two years as it sees inflation risks remaining elevated. The Monetary Policy Committee voted to raise the benchmark repurchase rate to 6.75 percent from 6.5 percent. Of the six panel members, half preferred the increase and the rest favored an unchanged stance, …

Bloomberg European Central Bank officials warned that uncertainty and tension over Italy’s expansive budget risk causing damage to the country’s economy in the long-run. “Italy’s current financing conditions are much too tight for a country with weak growth and low inflation,” ECB Chief Economist Peter Praet told Handelsblatt in an interview. Italian central bank Governor Ignazio Visco urged his government …