Record Details

MAINTENANCE OF THE MONETARY SYSTEM STABILITY IN UZBEKISTAN

European Journal of Business and Economics

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Field Value
 
Title MAINTENANCE OF THE MONETARY SYSTEM STABILITY IN UZBEKISTAN
 
Creator Ismailov, Alisher; Banking and Finance Academy of the Republic of Uzbekistan
 
Subject Devaluation, Money supply, Swap
E50, E51, E52
 
Description 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.
 
Publisher CBU, o.p.s.
 
Contributor —
 
Date 2013-10-10
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier https://ojs.journals.cz/index.php/EJBE/article/view/385
10.12955/ejbe.v8i3.385
 
Source European Journal of Business and Economics; Vol 8, No 3 (2013); pp. 1-3
1804-9699
10.12955/ejbe.v8i3
 
Language eng
 
Relation https://ojs.journals.cz/index.php/EJBE/article/view/385/380
 
Rights Copyright (c) 2013 Alisher Ismailov
https://creativecommons.org/licenses/by/3.0/