MAINTENANCE OF THE MONETARY SYSTEM STABILITY IN UZBEKISTAN

2013 ◽  
Vol 8 (3) ◽  
pp. 1
Author(s):  
Alisher Ismailov
Keyword(s):  
Central Bank ◽  
Money Supply ◽  
Foreign Currency ◽  
National Currency ◽  
System Stability ◽  
Open Market ◽  
Monetary System ◽  
Business Entities ◽  
The Stability ◽  
High Level

During the years of independence, the Republic of Uzbekistan has succeeded in building the modern monetary system. The national currency was introduced, monetary and currency markets have been developed along with the provision of independence of the Central Bank. However, the stability of national monetary system has not been ensured yet. In particular, the monetization level of the economy remains low, while the GDP deflator is rather high. In addition, high level of national currency devaluation is observed in recent years.Eventually all these urgent problems will negatively influence the stability of macroeconomic growth. The relatively high level of the GDP deflator (GDP deflator reflects a more realistic rate of inflation) has led to the significant growth of the money supply, which resulted in a strong devaluation of the national currency of Uzbekistan. For example, in 2012 the devaluation level of the national currency against the U.S. dollar was 10.5%. In addition, because of the low monetization coefficient, a crisis of defaulted payments among business entities has arisen.The author proposes to increase the volume of foreign currency swap and Gold Swap operation of the Central Bank of Uzbekistan in order to decrease the devaluation of the national currency. The author also suggests increasing the flexibility of monetary policy instruments such as an open market policy and reserve requirements to ensure the stable growth of the money supply.

scholarly journals Digitalization of the National Currency: World and Domestic Experience

2021 ◽  
pp. 4-11
Author(s):  
A.V. Ivanushenko ◽  
◽  
E.A. Plyusnina ◽  
A.A. Iatsyk ◽  
Keyword(s):  
Central Bank ◽  
Russian Federation ◽  
National Currency ◽  
Republic Of China ◽  
Digital Currency ◽  
Monetary System ◽  
National Currencies ◽  
Level Of Economic Development ◽  
The Russian Federation ◽  
High Level

The article examines the theoretical aspects of the concept of «digital currency» are studied, the main differences between digital currency and cryptocurrency are indicated. The concept of the digital national currency of the People's Republic of China, the digital yuan, has been predicted and the results of the ongoing digitalization have been identified, which in the future, if the digital yuan project is successfully implemented, will lead to the abandonment of cash. The theoretical aspects of the concept of «digital ruble» are studied, the main differences between the existing forms of money in the Russian economy are outlined: cash, non-cash money and digital money. Based on the study of the re-port presented by the Central Bank of the Russian Federation, potential options for the technical implementation of digital currency within the existing monetary system were identified, and their characteristics were also presented. An assessment of the expected result of the implementation of the concept of the digital ruble is given: the potential ad-vantages and risks of the digital ruble are identified and their comprehensive analysis is carried out. It is concluded that the process of digitalization of national currencies is relevant for the world community, being an indicator of the high level of development of the country's economy. The result of the analysis of the digital ruble project presented in the report of the Central Bank of the Russian Federation is the conclusion about the ambiguity of its implementation at the current level of economic development of our country.

scholarly journals Money Decentralization under Direct Democracy Procedures. The Case of Classical Athens

2021 ◽  
Vol 14 (1) ◽  
pp. 30
Author(s):  
Emmanouil-Marios L. Economou ◽  
Nicholas C. Kyriazis ◽  
Nikolaos A. Kyriazis
Keyword(s):  
Monetary Policy ◽  
Central Bank ◽  
Direct Democracy ◽  
Hellenistic Period ◽  
International Currency ◽  
Monetary System ◽  
Mediterranean World ◽  
The Stability ◽  
City State

By analyzing the case of Athens during the Classical period (508-323 BCE) the main thesis of this paper is that under direct democracy procedures and the related institutional setup, a monetary system without a Central Bank may function relatively well. We focus on the following issues: (i) Τhe procedures of currency issuing in the Athenian city-state, (ii) why the Athenian drachma become the leading international currency in the Mediterranean world (iii) how and towards which targets monetary policy without a Central Bank was possible (iv) defining the targets of monetary policy and the mechanisms for its implementation (v) the role of money in the economy (vi) the issue of deficit spending (vii) the reasons of the replacement of the Athenian drachma as a leading currency by others from the Hellenistic period onwards (viii) the correlation of our findings regarding the decentralized character of monetary policy in Classical Athens to today’s realities, such as the issue of cryptocurrencies. Our analysis shows that monetary policy without a Central Bank was possible, with its foremost aim being the stability of the currency (mainly, silver coins) in order to enhance trust in it and so, make it an international currency which could outcompete other currencies. Since there was no Central Bank like today, monetary policy decisions were taken by the popular assembly of citizens in combination with the market forces themselves.

Money Markets in East Africa

1966 ◽  
Vol 4 (4) ◽  
pp. 471-478
Author(s):  
W. T. Newlyn
Keyword(s):  
Central Bank ◽  
East Africa ◽  
Securities Market ◽  
Open Market ◽  
Text Book ◽  
Money Markets ◽  
Monetary System ◽  
History Of

THERE was a time when it was thought, in the best places, that in order to justify the establishment of a central bank it was absolutely necessary to have a securities market and a bill market in which the central bank could perform the traditional text-book open-market operations which are so central to the history of the Bank of England's control of the British monetary system.

scholarly journals THEORETICAL ASPECTS OF DETERMINING THE VALUE OF MONEY, DEPENDING ON THEIR FORMS IN CIRCULATION

2018 ◽  
pp. 82-94
Author(s):  
Oleksandr DZYUBLYUK
Keyword(s):  
Monetary Policy ◽  
Money Supply ◽  
National Currency ◽  
Main Task ◽  
Basic Principles ◽  
Theoretical Approaches ◽  
Monetary Unit ◽  
Monetary Relations ◽  
The Stability ◽  
Value Of Money

Introduction. The development of forms of money and the evolution of monetary relations affected the assessment of the value of the monetary unit. The problem of understanding the value of money is also complicated by the fact that value is the reflection of the worth of an object, expressed in money, estimating the value of money itself, which is the basis for the effective organization of monetary relations and commodity exchange. Under such circumstances, the rationale for adequate theoretical approaches to understanding the value of money is one of the important tasks in the process of implementing an effective monetary policy as a means of ensuring macroeconomic equilibrium, low inflation and economic growth. Purposes. The purpose of this article is to substantiate and systematize theoretical views on understanding the value of money in the light of the evolution of their forms in the development of monetary relations and those changes that took place in the basic principles of the organization of the monetary system, as well as the formulation of those recommendations for optimizing the basic principles of monetary policy , which should be aimed at ensuring the stability of monetary circulation and the normal functioning of the national economy. Results. The fundamental theoretical approaches to assessing the value of money in the development of money relations and changes in the forms of money in circulation are analyzed and systematized. The article defines the methodological foundations for understanding the value of money and its change, depending on the internal value of a material substance that serves as a general equivalent in the current historical period. Conclusion. An adequate understanding of the value of money serves as the cornerstone of the formation of the principles of monetary policy in a situation where the emission activity of the central bank and its task of maintaining the stability of the national monetary unit are directly determined by the need to bind the aggregate money supply to the needs of the overturn of goods and services. Awareness of the concepts of the value and price of money allows formulating the factors of influence on the stability of the national currency: 1) the stability of prices for goods, reflecting the correspondence of money supply and commodity turnover; 2) the stability of interest rates as the price of credit, which determines the role of money as a factor of production; 3) stability of the exchange rate reflecting the foreign values of the national currency. The main task of the state in the formulation and implementation of economic policies is to maintain the value of the monetary unit at an unchanged level, which is a key condition for successful economic development and the welfare of society.

scholarly journals On inflation in the Russian economy

2014 ◽  
pp. 153-157
Author(s):  
A. I. Bolonin
Keyword(s):  
Money Supply ◽  
Weight Control ◽  
Value Added ◽  
Global Market ◽  
National Currency ◽  
Lower Growth ◽  
Goods And Services ◽  
Monetary System ◽  
Russian Economy ◽  
Value Added Products

For the economy is very important to have the amount of money in circulation, sufficient to serve the movement of goods and services without generating inflation, indicating an excess of money, so matching the growth rate of monetary and commodity weight control is an important task of the monetary system in all countries. During the time of the gold standard and bimetallism regulation of the economy as a whole was not considered as an important macroeconomic problem. But the economic crisis of 1929 - 1933 forced to reconsider these views and problems of regulation of financial and credit sphere began to be perceived as a function of a stable level of production and employment. The article describes the monetary factors of inflation in the economy and describes the causes, which can lead to programming of monetary growth in the Russian Federation. As the first group of factors impact on the volume of money in circulation in the national economy, the author defined low value added products produced in the country, based on the external market, and the absence, so the room for maneuver of financial resources to stabilize budget revenues with a deterioration in global market conditions. The weakening of the national currency provides large ruble revenues from exports, which reduces the growth of the budget deficit. But the decline of import revenues, which can compensate for the devaluation of the national currency, leads to higher prices in the domestic market due to the prevalence it offers imported goods. The second group of factors linked to the credit activity of banks, which consists in increasing primary issue in lending importers and secondary, which occurs during the formation of foreign exchange reserves by the Bank of Russia. Result of credit activity of banks is to increase money supply growth and the discrepancy between the higher growth of money in circulation and lower growth rates actually created in the production of value added, which leads to the weakening purchasing power of money and rising prices. Each reason has a direct impact on money supply growth and inflation initiates.

The internationalization of the chinese rmb: road to the status of a world currency

2021 ◽  
pp. 105
Author(s):  
Dmitriy Kondratov
Keyword(s):  
Foreign Trade ◽  
Foreign Currency ◽  
Financial System ◽  
National Currency ◽  
Currency Markets ◽  
International Currency ◽  
Goods And Services ◽  
The Status ◽  
Private Savings ◽  
The Stability

The economic successes achieved by the PRC in recent years naturally raised the question of the possibility of converting the national monetary unit (yuan) into an international currency, which would play a significant role in servicing the country's foreign trade and investment relations, and in the turnover of global currency and financial markets. An effective solution to this problem can provide China with a number of long-term geopolitical and economic advantages; in particular, it would significantly increase the competitiveness of the financial system and the inflow of foreign capital into it. The basic prerequisites for the internationalization of the yuan have already been established: in terms of GDP and exports of goods and services, the PRC is one of the leading countries in the world, with significant foreign exchange assets accumulated, that ensure the stability of the financial system. For the successful promotion of the national currency abroad, there are still some obstacles, in particular, the free convertibility of the yuan has not been introduced and the capacity of the financial market is insufficient, which reduces the interest of foreign investors in the yuan. The emergence of the Chinese national currency as a full-fledged international currency implies a significant increase in its role in foreign trade operations of the PRC, an increase in the use of yuan financial instruments for placement by non-residents of private savings and official reserves, a further increase in volumes and diversification of conversion operations with the yuan in the domestic and foreign currency markets.

scholarly journals The Effect and Policy Analysis of Global Financial Crisis on Nigeria Economy

2017 ◽  
Vol 3 (4) ◽  
pp. 58-64
Author(s):  
Jimoh Olatunji ◽  
He Weihang
Keyword(s):  
Financial Crisis ◽  
Central Bank ◽  
Banking Sector ◽  
Global Financial Crisis ◽  
Focal Point ◽  
Banking System ◽  
System Stability ◽  
Implementation Policy ◽  
The Global Financial Crisis ◽  
High Level

The purpose of this study is to examine the changing trends of the global financial crisis and its effects on the Nigeria economy. It aims to study the rising success of the policy responds by the Central Bank of Nigeria, using banking sector and the economy as a focal point. Descriptive method data analysis is used to analysis the data collected for the research, the finding from the banking officials of the First Bank Plc on the research topic. The research results show that Nigeria economy has achieved a medium or even high level of implementation policy by Central Bank of Nigeria (CBN) to constraint complexity and widespread of Global Financial Crisis (GFC) in the economy, and implored adequately, stability comprehensive measures to address the future penetrated of the financial crisis. It was recommended that the immediate response of the CBN to ensure the maintenance of the banking system stability and injecting liquidity into the system and prudential supervision and regulation of the financial sector.

scholarly journals Dollarization in Central and Eastern European countries: essence, genesis, interrelation

2020 ◽  
Vol 67 (6) ◽  
pp. 149-160
Author(s):  
S. Sheludko ◽  
T. Babych
Keyword(s):  
Money Supply ◽  
Foreign Currency ◽  
Three Dimensional ◽  
European Countries ◽  
Eastern European ◽  
Dimensional Classification ◽  
Key Factor ◽  
And Performance ◽  
Eastern European Countries ◽  
High Level

The paper is devoted to scientific-theoretical and econometric analysis of dollarization on the example of Central and Eastern European countries. The views of scientists on the essence of the investigated category are generalized; the presence of high degree pluralism, particularly among Ukrainian researchers is determined. The authors’ definition, according to which the necessary conditions for dollarization in the economy such as: the recognition by residents the ability of foreign currency to perform one or more national money’s functions and systematic use of such currency in cash and/or non-cash circulation is given. Three-dimensional classification of dollarization, consistent with the modern money theory, according to the criteria of penalty, state recognition and performance of specific money’s functions is presented. Genesis and manifestations of inferred types are investigated. The global level of commitment to the U.S. dollar as the most common settlement and reserve currency is defined according to the global statistics of cross-border payments and the currency composition of the official central banks’ reserves. Methodological approaches for determining the level of dollarization of the economy, the most common of which – dollarization of money supply according to IMF and external debt–to–GDP ratio illustrated by statistics of 9 Central and Eastern European countries with own currencies are analyzed. It is determined that the high level of dollarization indicates the substitutionary competition between national and foreign money, where the latter are considered as a key factor for entering the global financial and commodity markets. According to the results of construction, estimation and re-estimation of BVAR dollarization model of Ukraine, Belarus, Poland and Russia, the significant causal relationship between the share of the currency component in the money supply of Russia and Poland and the corresponding indicators of Belarus and Ukraine is proved. This substantiates the previous conclusions about the unity of the dollarization evolutionary logic in historically close economies. The need for further empirical research of provoking and restraining factors of dollarization in Central and Eastern European countries is emphasized.

scholarly journals Socio-econmic system stability researches in the MathCad enviroment

2020 ◽  
pp. 37-41
Author(s):  
V. S. Kokhanova ◽  
I. M. o. Maharramov
Keyword(s):  
System Stability ◽  
Strategic Decisions ◽  
Strategic Issues ◽  
Goods And Services ◽  
Level Of Satisfaction ◽  
Economic Interpretation ◽  
The Face ◽  
Business Entities ◽  
Chain Indices ◽  
The Stability

The article is devoted to the study of the dynamics of the stability of the socio-economic system in the environment of MathCad on the example of a specific company. Issues of making strategic decisions in the face of uncertainty have always been relevant at all levels of the national economy. So, for business entities, strategic issues are the development of a project, product, or functional (business) unit. Here are based on the categories of profitability, break-even, turnover, liquidity and other groups of criteria. In addition to traditional planning and forecasting tools, alternative techniques can be applied. For example, if we consider the main goal of the business entity’s activity not to maximize its own profit (economic interpretation), but to satisfy the needs of the population in goods and services with consumer properties that are necessary for the market (marketing interpretation), then when making decisions, the integrated assessment of social efficiency should be used. A set of chain indices is used that determine the level of satisfaction at transformation points created by the company’s products.There is no conflict of interests.

scholarly journals ASSESSMENT OF FINANCIAL SECURITY OF THE BANKING SYSTEM OF UKRAINE

2020 ◽  
pp. 51-58
Author(s):  
Davydenko N. ◽  
Kolodiazhna V.
Keyword(s):  
Financial Stability ◽  
Banking Sector ◽  
Banking System ◽  
The State ◽  
Financial Security ◽  
Monetary System ◽  
Characteristic Features ◽  
The Stability ◽  
Financial Monitoring ◽  
High Level

Today, the basis of financial security of the state is to ensure the stability and security of the banking system, because the decline in confidence in banks causes damage to the financial security of the whole country. The purpose of the article is to study the essence of financial security of the banking sector and develop proposals for its strengthening based on an assessment of the state of the banking sector at this stage of economic development. The primary tasks of the banking system are the stabilization of the monetary system of the state, the accumulation of financial resources of society, ensuring the stability of the national currency, which together have a signi-ficant impact on its financial security. That is why it is necessary to determine the state of the banking sector of the state in terms of its ability to withstand internal and external negative factors in the banking process. Therefore, the state of financial security of the banking system is subject to constant analysis, especially in our time, due to the difficult military-political situation and economic instability in the country, which has negatively affected the activities of commercial banks. The article presents the main indicators of the banking sector of Ukraine during 2014–2019, which provide an opportunity to analyze trends in its state under the influence of internal and external factors. The main characteristic features of the banking system of Ukraine in the conditions of modern challenges are determined. According to the results of the analysis, it can be stated that the state of the banking system of Ukraine is quite unstable, primarily due to the change in the structure of the banking sector and the fact that Ukraine is on the way to overcoming the crisis of the banking system. As a result of the research, measures have been identified to ensure the stability of the banking sector and increase the level of financial security of the banking system. It is established that in order to further ensure the stability of the financial security of the banking system of Ukraine at a high level, considerable attention should be paid to improving the banking management system and tools of state financial monitoring of the banking sector.Keywords: financial security, state, banking system, solvency, financial stability. У статті визначено сучасні підходи до визначення сутності фінансової безпеки банківської системи держави, як основної складової її економічної системи. Визначено основну мету підтримки фінансової безпеки банку та структуру банківського сектору держави в розрізі його платоспроможності. Здійснено оцінку основних показників діяльності банківського сектору держави та проведено аналіз сучасного його стану протягом 2014–2019 рр. на основі офіційної статистичної інформації Національного банку України. Визначено вплив націоналізації ПАТ «Приватбанк» та обґрунтовано основні її наслідки для державної частки банківського сектору. Охарактеризовано ефективність функціонування банківської системи України, а також вплив банківської реформи на нівелювання наслідків кризи банківської системи.Ключові слова: фінансова безпека, держава, банківська система, платоспроможність, фінансова стійкість

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