De-dollarization Process in the EAEU Member States as an Element of the Monetary Policy

2019 ◽  
pp. 70-81
Author(s):  
K.S. Ivanova
Keyword(s):  
Monetary Policy ◽  
Economic Integration ◽  
Foreign Currency ◽  
Member States ◽  
Transmission Channels ◽  
Monetary Systems ◽  
National Currencies ◽  
High Level ◽  
Regional Grouping ◽  
Negative Expectations

Economic integration in the EEU region naturally captures the area of cooperation in the monetary sphere, which is a more high-level stage of integration in its classical understanding. The imbalances in macroeconomic development and a number of problems in the monetary systems of the EEU member-countries are an obstacle to the intensification of cooperation in the monetary sphere. One of the significant problems, common to all the EEU member-states is the dollarization of their economies, which imposes restrictions on the ability of monetary bodies to regulate macroeconomic processes in the country. Replacing national currencies in settlements, payments and savings with «hard currencies» reduces the efficiency of transmission channels, worsens volatility indicators of national currencies and strengthens the spiral of formation of negative expectations regarding inflation levels. An increase in the debt load denominated in foreign currency, in particular for individuals, creates additional risks to the monetary systems of countries. This article is devoted to the study of the problems of dollarization of the economies of the EEU member-states, of the required de-dollarization measures, as well as to the analysis of the prospects for the de-dollarization process spreading at the regional grouping level.

Analysis of debt burden and credit of corporate sector: Estimates for Russia and cross-country cases

2018 ◽  
pp. 25-48 ◽  
Author(s):  
S. V. Sheremeta ◽  
A. N. Mogilat
Keyword(s):  
Developing Countries ◽  
Monetary Policy ◽  
Interest Rates ◽  
Economic Activity ◽  
Currency Crises ◽  
Inflation Targeting ◽  
Foreign Currency ◽  
Significant Risk ◽  
Developed Countries ◽  
High Level

The paper discusses dynamics of private sector debt-to-GDP ratio and debt service ratio (DSR). We show that the level of DSR for developing countries is less than that of DSR for developed countries, and has a more volatile dynamics. Developing countries face significant risk from external sector of the economy due to high level of their dependence on external debt - through currency revaluation, on the one hand, and reciprocal growth of interest rates, on the other hand. This is illustrated, for example, by the situation in Russia in 2014-2016. We also show that countries with monetary policy based on inflation targeting face much more downplayed response of DSR shocks on their economic activity than countries with different regimes of monetary policy. That is why currency crises in several regions including South-East Asia and Russia, have led to significant growth in DSR and forwarded shift to inflation targeting in these countries. Along with shocks of DSR related to volatility of foreign currency, we explore those related to inflation and monetary conditions, abrupt changes in economic activity, etc. The paper also focuses on factors of DSR dynamics, including interest rates, terms, volumes, foreign currency revaluation, and its decomposition on the long period of time.

scholarly journals CHARACTERISTIC OF THE DEVELOPMENT OF REGIONAL ECONOMIC INTEGRATION IN AGRICULTURE OF CIS COUNTRIES IN CONJUNCTION WITH NATIONAL INTERESTS OF RUSSIA

2018 ◽  
Keyword(s):  
Economic Integration ◽  
Regional Economic Integration ◽  
Industrial Complex ◽  
Economic Policies ◽  
Regional Economic ◽  
Member States ◽  
Mutual Adaptation ◽  
Soviet Space ◽  
High Level ◽  
Post Soviet Space

The development of regional economic integration in the post-Soviet space in the context of globalization and crisis phenomena in many countries of the world acquires special sig-nificance. In this regard, the study of the previous experience of the development of integration seems very important in order to understand what forms of regional economic integration are appli-cable in the post-Soviet space. The processes of economic integration in the agriculture in the post-Soviet space that are taking place at present are not so much connected with the search for new ways of interaction and mutual adaptation of the agro-industrial complexes of the post-Soviet states, but rather with the restoration of the lost economic integration ties. Despite the fact that the CIS member states differ in their natural-geographical features and level of socio-economic development, the issues of the agro-industrial complex development for them are in many respects similar. There is a sufficiently high level of coincidence of the goals of the development of national agribusinesses, taking into account the natural and socio-economic conditions of their functioning and, in general, the economic policies of each of the states. All member states of the Commonwealth set goals based on real opportunities, with an orientation in the immediate or in the longer term to increase the export of agricultural products.

scholarly journals The Monetary Policy in the System of State Regulation of the Indian Economy

2015 ◽  
pp. 97-107
Author(s):  
N. V. Galistcheva
Keyword(s):  
Monetary Policy ◽  
Foreign Currency ◽  
State Regulation ◽  
Real Effective Exchange Rate ◽  
Fiscal Year ◽  
Main Task ◽  
Bank Rate ◽  
Effective Exchange ◽  
High Level ◽  
Export Revenue

The main task of this research is the analysis of India's monetary policy and its place in the system of state regulation of the economy. The article highlights the main directions of the Indian monetary policy in 1990-2000s aiming to raise competitiveness of the Indian goods on the foreign markets as well as stimulating the inflow of foreign capital in necessary volumes into the national economy. The author focuses on the main instruments of the modern Indian monetary policy, pursued in line with providing the undervalued rupee, which include the manipulating of the bank rate and currency interventions, directed mainly at sterilization of excessive inflow of foreign currency to the country. The article also underlines all the advantages and costs of the monetary policy. One of its main advantages is stimulation of national production's exports and among costs there are difficulties of importing machines and equipment into the country, increase of inflation rate as a result of massive inflow of export revenue, difficulties at external debt's service. The author notes the gradual nature of introduction of current account rupee convertibility and reasons for delay in achieving its full convertibility. Among them there are rather high level of fiscal deficit of the consolidated budget, essential average annual level of inflation, problems of non-performed assets in the economy, high liquidity ratio for commercial banks. The article also presents statistical data on the present state of the Indian foreign exchange reserves as well as dynamics in nominal and real effective exchange rate of rupee in 2005/06 - 2013/14 fiscal year.

The role of standardization as a key Tool of Quality Economics in the development of integration of the Eurasian Economic Union

2019 ◽  
pp. 14-19
Author(s):  
V. V. Okrepilov ◽  
A. G. Gridasov
Keyword(s):  
Economic Integration ◽  
Legal Framework ◽  
Regulatory Framework ◽  
International Standards ◽  
Member States ◽  
Scientific Methods ◽  
Goods And Services ◽  
Eurasian Economic Union ◽  
Economic Union

The presented study examines the experience of forming a regulatory framework for the integration of the Eurasian Economic Union (EAEU) member states through the example of standardization as one of the key tools of quality economics.Aim. The study analyzes the major solutions of the EAEU authorities and member countries aimed at increasing the role of standardization in the economic integration of the Union over five years of its existence.Tasks. The authors identify efficient methods for developing standardization for the integration of the EAEU states as well as the most problematic aspects in this field that need to be taken into account in the qualitative strengthening of the Union’s economy.Methods. This study uses general scientific methods of cognition to examine the activities of the EAEU authorities and member states aimed at creating a system for the economic integration of the Union during a period of its transition from separate national markets towards a single (common) market.Results. Over five years of operation in the field of stadardization, the Eurasian Economic Union has created the necessary organizational and legal framework to ensure the successful development of integration processes. The national legislation on standardization has been modernized with allowance for the harmonization of these laws. In the next five-six years, the development of international standards for 40 technical regulations is expected to be completed, which would create a regulatory framework for unhindered interaction between all participants of the single (common) EAEU market. Conclusions. The analysis of activities in the field of standardization reveals a sufficiently thought-out and coordinated policy of the EAEU states in creating the necessary conditions for overcoming legal and administrative barriers in the movement of goods and services within the common economic space of the EAEU.

Enhancing Science and Technology in the SADC Region: Roles of the Secretariat and Member States

2002 ◽  
Vol 1 (1) ◽  
pp. 70-95
Author(s):  
Rubin Patterson ◽  
James Bozeman
Keyword(s):  
Economic Integration ◽  
Final Section ◽  
Science And Technology ◽  
Foreign Affiliate ◽  
Member States ◽  
The Third ◽  
Economic Context ◽  
The World ◽  
The Status

AbstractIncreased economic integration throughout the world, the growing dominance of foreign affiliate production over international exports, the routinization of innovation, and amplified knowledge-intensiveness of FDI collectively characterize the new global economic environment in which SADC nations are attempting to develop and compete. This paper provides a detailed summary of the global economic context and one of its leading engines, namely, science and technology (S&T). Analysis of Africa's post-independence S&T travails and successes constitutes the second section of the paper. Various factors that have collectively arrested S&T growth are discussed. The third and largest section is the analysis of commonalities and particularities of S&T needs and activities by the SADC secretariat and member states. Focused analytical reports on the status of S&T development efforts in Botswana and Zimbabwe comprise the final section. Based on the contextual threats and opportunities discussed above, the paper concludes with two concrete recommendations: integrating and adopting the elements suggested in the paper for a long-term S&T development model, and pursuing state-sponsored or quasi-state-sponsored reverse engineering campaigns.

scholarly journals Proposals for the Negotiation Process on the United Nations Global Compact for Migration

2017 ◽  
Vol 5 (3) ◽  
pp. 682-693 ◽  
Author(s):  
Víctor Genina
Keyword(s):  
New York ◽  
United Nations ◽  
International Migration ◽  
Negotiation Process ◽  
General Assembly ◽  
Global Compact ◽  
Member States ◽  
Un General Assembly ◽  
The United Nations ◽  
High Level

On September 19th, 2016, the United Nations (UN) General Assembly adopted Resolution 71/1, the text of the New York Declaration for Refugees and Migrants (the “New York Declaration”). Resolution 71/1 is the outcome document of the high-level plenary meeting on addressing large movements of refugees and migrants, held at the UN headquarters. The New York Declaration reflects how UN member states have decided to address the challenge of large movements of people in two main legal categories: asylum seekers/refugees and migrants. Resolution 71/1 includes an annex titled “Towards a Global Compact for Safe, Orderly and Regular Migration” (the “global compact for migration” or “global compact”). This document is comprised of several thematic issues related to international migration that will be the basis of a globally negotiated agreement on how member states should respond to international migration at the national, regional, and international levels, as well as to issues related to international migration and development. The global compact for migration is intended to be adopted at a conference on international migration and development before the inauguration of the 73rd annual session of the UN General Assembly in September 2018. This paper addresses how UN member states should plan to address international migration in the future. It does not refer to refugees and asylum seekers: a global compact on refugees will be drafted by the United Nations High Commissioner for Refugees (UNHCR) in 2018, and to be presented to the UN General Assembly for states' consideration during its 73rd annual session, which starts in September 2018.1 For those who have been involved in migration issues within the United Nations, the fact that member states have finally agreed to convene an international conference on international migration represents a major achievement. It is the result of an extended process that started decades ago and was made possible by a long chain of efforts by many state delegations and other stakeholders. The global compact for migration will not be the first outcome document dealing exclusively with international migration. A declaration2 adopted at a high-level meeting at the United Nations in October 2013, for example, paved the way for the 2018 conference. Nonetheless, the global compact represents a unique opportunity to address international migration comprehensively and humanely. This paper contributes to the discussion on the elements that should be included in the global compact for migration. The paper is divided into two sections. The first section analyzes the main elements of Annex II, “Towards a Global Compact for Safe, Orderly and Regular Migration,” and the criteria that needs to be adopted in order to achieve a substantive outcome. In particular, participants in the negotiation process should aim to balance the concerns of states and the members of host societies, on one hand, with the needs and rights of migrants, on the other. The second section includes proposals to enrich the final global compact for migration and takes into account two documents written by two different actors within the UN system, the Special Representative of the Secretary-General on Migration, and the Special Rapporteur on the Human Rights of Migrants. In particular, the paper proposes that the global compact for migration: • sets forth principles that can inform the actions of governments in relation to international migration at all levels; • enunciates a clearer definition of state protection responsibilities in relation to migrants in crisis situations and so-called “mixed flows”3; affords a substantive role to civil society organizations, the private sector, and academic institutions in the global compact's follow-up and review process; • defines the institutional framework for the implementation and follow-up of the global compact within the United Nations, including through the work of the UN High-level Political Forum on Sustainable Development (HLPF); • establishes a mechanism to fund migration policies for states that lack enough resources to invest sufficiently in this task; and • builds a cooperation-oriented, peer-review mechanism to review migration policies. The paper has been conceived as an input for those who will take part in the negotiation of the global compact for migration, as well as those who will closely follow those negotiations. Thus, the paper assumes a level of knowledge on how international migration has been addressed within the United Nations during the last several years and of the complexities of these negotiation processes. The author took part in different UN negotiation processes on international migration from 2004 to 2013. The paper is primarily based on this experience.4

scholarly journals Economic Growth, Policies and Influencing Factors: The Case of Albania

2016 ◽  
Vol 4 (1) ◽  
pp. 107
Author(s):  
Eleni Vangjeli ◽  
Anila Mancka
Keyword(s):  
Economic Growth ◽  
Monetary Policy ◽  
Fiscal Policy ◽  
Interest Rates ◽  
Empirical Analysis ◽  
Influencing Factors ◽  
Fiscal Policies ◽  
The Government ◽  
High Level ◽  
The Empirical Analysis

Monetary and fiscal policies are two policies that the government could use to keep a high level of growth, with a low inflancion. Fiscal policy has its initial impact on the stock market, while monetary policy in market assets. But, given that the goods and active markets are closely interrelated, both policies, monetary as well as fiscal have impact on the economy, increasing the level of product through the reduction of interest rates. In our paper we will show how functioning monetary and fiscal policies. But also in our paper we will analyze the different factors which have affected the economic growth of the country. The focus of our study is the graphical and empirical analysis of economic growth, policies and influencing factors. For the empirical analysis we have used data on the economic growth in Albania for 1996– 2014.

scholarly journals Euroisation in the Western Balkans: The Evidence for Macedonian Economy

2017 ◽  
Vol 8 (2) ◽  
pp. 307-315
Author(s):  
Tatjana Boshkov ◽  
Zoran Temelkov ◽  
Aleksandra Zezova
Keyword(s):  
Exchange Rate ◽  
Foreign Currency ◽  
Exchange Rate Regime ◽  
Extended Period ◽  
Emerging Countries ◽  
Western Balkans ◽  
Balkan Countries ◽  
High Level ◽  
Benefits And Costs ◽  
Prudential Policy

Abstract Euroisation is a problem with a long history and usually persistent phenomena. The high level of euroisation is common in emerging countries in Europe as in the countries with fixed exchange rate regime. In Western Balkan countries have been identified a strong presence of foreign currency. The fact is that transactions could take a place outside of the banking channels, which is not a case for FX-loan and FX-deposit ratios. It’s difficult to measure how much foreign money is in the economy. This is the reason to use data for currency substitution index. This index is high for Macedonia indicating high level of real euroisation. After the crisis, the levels are reduced (lower remittances from abroad). Considering the exchange rate experience of Macedonia, it’s likely to remain significantly euroised country for an extended period. IMF considers appropriate strategy which provides support for the gradual de-euroisation in maintaining macro-prudential policy and development of the domestic market. Another important strategy is the maintenance of prudent policies that mitigate foreign currency risks. The paper shows the persistence of FX mainly in Macedonian economy and discusses about benefits and costs, in light of the recent economic crisis.

scholarly journals The Rule of Law Framework in the European Union: Its Rationale, Origins, Role and International Ramifications

2021 ◽  
pp. 305-331
Author(s):  
Artur Nowak-Far
Keyword(s):  
European Union ◽  
Human Rights ◽  
Rule Of Law ◽  
The European Union ◽  
Member States ◽  
The Rule Of Law ◽  
Eu Member States ◽  
International Legal Order ◽  
High Level ◽  
The Eu

AbstractAt present, the European rule of law enforcement framework under Article 7 TEU (RLF) is vulnerable to unguaranteed, discretionary influences of the Member States. This vulnerability arises from its procedural format which requires high thresholds in decision-making with the effect that this procedure is prone to be terminated by the EU Member States likely to be scrutinized under it, if only they collude. Yet, the Framework may prove effective to correct serious breaches against human rights (in the context of ineffective rule of law standards). The European Commission is bound to pursue the RLF effectiveness for the sake of achieving relative uniformity of application of EU law (at large), and making the European Union a credible actor and co-creator of international legal order. The RLF is an important tool for the maintenance of relative stability of human rights and the rule of law in the EU despite natural divergence propensity resulting from the procedural autonomy of the EU Member States. By achieving this stability, the EU achieves significant political weight in international dialogue concerning human rights and the rule of law and preserves a high level of its global credibility in this context. Thus, RLF increases the EU’s effectiveness in promoting the European model of their identification and enforcement.

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