Tetiana Turchenyuk,
Candidate of Sciences in Economics, Assoc. Prof.,
Margaryta Goncharova,
Candidate of Sciences in Economics, Assoc. Prof.,
Ukrainian Academy of
Banking of the National Bank of Ukraine (Ukraine)
According
to the Law of Ukraine «About the National Bank of Ukraine», the main subject of
the development and realization of the monetary policy is considered to be the
National Bank. The competence of the last one includes the formation of general
directions of the monetary policy, the determination of concrete methods of its
realization and the development of the appropriate normative base.
The article 5 of the Law «About the National Bank of
Ukraine» says, that the basic economic methods of the monetary policy are the
determination and regulation of the normatives of obligatory reserves for
business banks and financial establishments;
the regulation of the interest (discount) rate; the refunding of
business banks; the realization of operations on the open market; management of
gold-value reserves and the regulation of import and export of capital, which
have to be directed, first of all, at the regulation of volume of a money
supply in circulation.
Besides, at the article 6 of the Law «About the National
Bank of Ukraine» is determined, that the main function of the National Bank is
considered to be the maintenance of a stability of a national monetary unit. In
that connection we would like to admit, that the process of devaluation of the
national currency in 2000 was considerably slowed down, compared to the
previous years. Such tendency is also shown now, but anyway we remember
negative processes have been taken place during the first and second waves of
the global financial crisis of 2008-2009.
It is
important to note rather financial calmness which has been observed at the
internal exchange market since 2010. This calmness should be connected with the
rational introduction of management against crisis tools led to the improvement
of economical condition of Ukraine in the short run nowadays.
Even though the necessary recapitalization of the
banking system in the Ukraine seems to be manageable in the short run (either
with the help of the parent banks or with the help of the IMF), getting the
foreign exchange problem under control seems to be crucial for fighting the
banking crisis in the long run and for avoiding a similar crisis in the future.
In this respect, also the framework for domestic financial markets needs
strengthening, including a reform of banking supervision and legislation.
So, the crisis in Ukraine also offers chances. An innovative strategy would not only allow to
overcome the stage crisis but also to minimize the duration of the cycle
crisis. Such a strategy would require
besides the strengthening of market mechanisms also stipulating infrastructure investments and the acceleration
of scientific and technical progress.
We’d like to admit, that since 2000 the National Bank has
been carrying out the interest rates’ policy more effectively, in comparison to
the previous years. It is necessary to mention, that according to the market
conjuncture, with the decrease of the interest (discount) rate the cash
balances and alternative forms of money, keeping in securities, should be
increased, however in Ukrainian practice it does not work.
The reduction of volume of money resources through the
capital market (in the case of reduction of the interest rates) can take place
because of many reasons: owing to
unattractiveness, instability and not prospects of the national market of
capitals; owing to the absence of a
free competitiveness in the financial market between its components - the
market of money, capitals and securities, and also it can be to connected with
the reduction of a general level of the incomes of the population, at which the
indifference to parameters of a conjuncture of the money market becomes the
norm of behaviour of the subjects of the economic relations.
The positive moment in the solution of the problems
taking place in the monetary market of Ukraine is considered to be the adoption
of the Law «About Banks and Banking», which considerably expands the
opportunities of management of the Ukrainian banking. This Law is more
progressive, compared to the old one, because it considers the Law of Ukraine
«About the National Bank of Ukraine», other laws of Ukraine, and also it takes
in consideration the international standards of regulation and control of
banking.
References
1. National Bank of
Ukraine (NBU) (2009a), Bulletin of
the National Bank of Ukraine (Official edition), Kiev, March 2009.
2.
National Bank of Ukraine (NBU) (2009b), Monetarnyi oglyad (Monetary Review, Analytical
materials), Kiev, March 2009.
3. National Bank of
Ukraine (NBU) (2009c), Visnik NBU (Herald of the National Bank of
Ukraine, Official edition), Kiev, June 2009.
4. National Bank of
Ukraine (NBU) (2009d), Diyi NBU v
period finansovoyi kryzy (Actions of the National Bank of Ukraine during
financial crisis, Analytical materials, Report), Kiev, 2009.
5.
Tetiana Protsyk. Similar but
different? The financial crisis in matured Western and emerging Eastern
European countries / Thomas
Dietz, Tetiana Protsyk, Erich Keller // Banks and Bank Systems. – 2009. – Volume 4, Issue 3. -
P.20-30.
6. Tetiana Protsyk. The financial crisis in
Germany and the Ukraine – Reasons, development and countermeasures / Thomas Dietz,
Tetiana Protsyk // World
financial crisis: causes, consequences, ways of overcoming, 2010. – Business Perspectives, P.96-121.