The value of money summarize

The National Bank expects that in such case is itself a discount rate as a financial instrument can really influence the market of crediting the real sector. It is at this rate will be guided by commercial banks in determining interest rates on their deposits and loans. "This will make the Ukrainian practice similar to the current in the Western countries where both rates relentlessly follow one another and form a tandem indicators, which focus on financial markets when calculating the cost of funding," - said the treasurer, Troika Dialog Ukraine Alexander privateers. In addition, market participants will become easier to navigate when making decisions, because the stakes are in fact identical. Mystery, however, remains as the central bank intends to do: raise or lower your refinancing. In any case, this step regulator is long overdue. Because at the moment the discount rate, designed to determine the lowest price of money in the market, does not work - she was "living his life." Commercial banks, determining the level of market rates do not adapt to the minimum value defined by the regulator. "The refinancing rate is more adequate and is important for banks, but also not a market", - notes senior analyst at the International Centre for Policy Studies, Alexander Acorn. So, on February 28 overnight refinancing rate was 9.25% per annum for loans secured by government bonds and 11.25% for unsecured loans. Account the same rate, with the August 10, 2010 is kept at 7.75%. But the real problem, experts say, is that regardless of the rates the National Bank almost nobody gives out refinancing loans. At the same time, adds president of the Ukrainian think-tank, Alexander Okhrimenko be lost meaning of existence in the Ukrainian realities of such an instrument of market regulation, as the NBU discount rate, since, by definition, at this rate to get money at the central bank can any market participant at any time and for any amount. According to Alexander acorn, because of the reluctance to print money the central bank will do its utmost to delay the process of bringing rates to a single value. "National Bank still does not give money for fear of the consequences of emissions. For refunding may be issued only by the inclusion of the printing press, and this, in turn, provides additional opportunities for speculation in the foreign exchange market", - said the expert, who requested anonymity. However, notes a member of the Supervisory Board of Association "Ukrainian Credit-bank Union", Director of Institutional Relations, "UniCredit Bank" Yaroslav Soltis, retaining the current situation where the National Bank refinancing can involve only a few market participants, contributes to corruption in relations between commercial banks and the regulator. In this case, the attainment of the head of the National Bank of tasks is absolutely real, believe market participants. According to Alexey Kozyrev, director of Treasury's Bank Khreschatyk, equalization rates will somewhat reduce the cost of refinancing for banks, which in turn will enable banks to reduce rates when lending to the real economy (now the discount rate - 7,75%, and refinancing available banks under the scheme: the rate on the loan for the refinancing of the bank is lending rate plus a margin of 1.5% per annum). "If the discount rate and the refinancing rate will be equal, then, accordingly, this margin will not be passed on to the borrower, and thus the value of the resource will be lower" - predicts a banker. But to achieve these goals by the National Bank will need to adjust their regulatory frameworks relating to the order of the refinancing and re-examine the mechanism of formation and calculation of the discount rate. However, notes the head of the Supervisory Board Platinum Bank Yuri Blaschuk should not forget that the discount rate, by definition, must not be less than inflation. According to the results in 2010 inflation was 9.1%, while for the current year is planned at 8.9%. Although the Adviser to the Minister of Economy, former deputy head of the NBU Sergei Yaremenko sure that the excess discount rate of inflation would mean "an end to Ukraine's economy," as to enhance lending to the real sector should just cut the discount rate. "However, the conditions of Ukraine's cooperation with the International Monetary Fund as part of stand by not assume such a decline that was driving the national economy in a vicious circle" - outraged the financier. Moreover, he notes, developed Western economies, recognizing that refinancing is only possible due to emission, easily afford to print new money. "The National Bank of Ukraine also lost its function, becoming in fact to the exchange rate. It works according to the paradigm imposed from the outside when you can not issue the hryvnia. In this case there is a gradual dollarization of the economy", - says the expert. In his view, the convergence of the values ??of accounting and refinancing does not make sense, while the National Bank will not be free to conduct open market operations. On materials Economic News