INFLUENCE OF MONETARY POLICY ON DEVELOPMENT OF THE BANKING SYSTEM OF UKRAINE

Abstract

The article is dedicated to the current issues of the impact of monetary policy on the development of the banking system of Ukraine in times of war. The main trends in the use of monetary policy instruments, such as changes in the discount rate, are considered, and the dynamics of capital adequacy ratios of domestic banks during wartime are analyzed. The activities and role of the National Bank of Ukraine in stabilizing the banking system during wartime are investigated. In practice, the National Bank of Ukraine has implemented a series of proactive measures to ensure the stability of the banking system. It is determined that there is an acute need to implement additional financing channels or expand credit programs through the use of preferential interest rates, compensatory instruments, guarantee resources to support veterans, relocation, land demining, energy efficiency, exports, and the processing industry.

Keywords

• monetary policy
• banking system
• discount rate
• stability of the banking system
• banking regulations