Mechanisms of Currency Regulation of the National Economy in the Conditions of European Integration of Ukraine

Abstract

The principles and directions of development of currency regulation in the conditions of its liberalization are determined. It is shown that the basis of the currency policy of the state is the regime of exchange rate formation. The positive consequences of Ukraine's transition to flexible exchange rate formation in terms of promoting automatic balance of payments, replacing its double deficit with a double surplus have been identified. The negative feature is a significant lead of the cumulative inflation index over the rate of depreciation of the national currency over the past five years, which reduces the price competitiveness of consumer goods of domestic production. During this period, there was an increase in international reserves against the background of the waiver of the mandatory sale of foreign exchange earnings of exporters and a significant excess of supply over demand in the foreign exchange market. The auxiliary role of foreign exchange interventions as instruments of monetary policy at the priority of the discount rate is revealed. The strengthening of the institutional capacity of currency regulation in Ukraine in the conditions of accession to the EU through the development of legal support, a positive impact on the balance of payments, the implementation of the BEPS agreement is proved.