Monetary Policy Which Aimed at Financial Stability of the Central Bank of the Republic of Turkey (CBRT), since 2010

Authors : Havva ARABACI

Pages : 43-54

View : 12 | Download : 9

Publication Date : 2017-05-10

Article Type : Research Paper

Abstract :Monetary policy is effort to manage variables such as Money supply and interest rate for achieving macro-economic objectives as price and financial stability, economic growth, ensuring the balance of payments. Since the end of 2010, the Central Bank of the Republic of Turkey insert ignore into journalissuearticles values(CBRT); has designed anda dopted a new monetary policy. Nonetheless, financial stability has been adopted as a supportive objectives; as for this purpose, additional policy instruments such as interest rate corridor insert ignore into journalissuearticles values(Weekly Repo Interest and liquidity management); and required reserves have been developed. Then ew policy design aimed to provide a framework to increase the economy`s resilience especially resulting from fragility caused by balance of payments equilibrium, credit expansion and capitalflows. In this study, new monetary policy tools aimed for financial stability which Implemented by the CBRT since the end of 2010 has been tried to explained.
Keywords : Monetarypolicy, financialstability, central bank, national bank, interest rate corridor, requiredreserves