Download Document

Financial Policy in Ukraine:
Key Issues for Analysis
Lesya Ilchenko-Syuyva,
Associate Professor, Economic Policy Department
National Academy of Public Administration,
Office of the President of Ukraine
e-mail: [email protected]
Policy consistency in overcoming
current financial crisis
Selective Macroeconomic Data
Real GDP
CPI
2006
107,3
110,3
2007
107,9
111,6
2008
102,3
116,6
2009
84,9 (-15,1)
122,3 (+22,3)
Financial policy
Fiscal - MoF  budgets  public
revenues and expenditures
 Monetary – Central banks  money
supply

Public Finance
Individual Finance
Legal Entities
Finance
International
Finance
Monetary policy
In Ukraine it mainly relay on banking
sector (~180 banks, but only 150 are
operating) – under supervision of central
bank
 Credit (to both individuals and legal
entities provided by bank and non-bank
financial institutions – with are under
supervision of the State Committee on
Financial Services Market of Ukraine)

Monetary policy
Policy Cycle
? Problem
Identification ?
? Background ?
Evaluation
? Alternatives ?
Monitoring
? Consultations ?
Action Plan
Decision-Making
Key issue -1
Problem Identification
“Cheshire Cat” she began, rather timidly, “Would you please tell
me, please, which way I ought to go from here?”
“That depends a good deal on where you want to get to,” said the
Cat.
“I don’t much care where,” said Alice.
“Then it doesn’t matter which way you go,” said the Cat.
L. CARROL, “Alice in Wonderland”
Key Issue - 2
Evidence Based Policy-Making



Background information as a basis for sound
policy (bank secrecy)
Alternatives
Consultations
Key Issue - 3
Transparency in Policy-Making




Duplication of responsibilities (MoF vs. Central
Bank)
Sticking to institutionalized procedures
Consultations
Cooperation with civil society
Key Issue - 4
Policy Effectiveness and Efficiency



How to measure?
How to assess policy at least medium-run
effects (time-leg for both fiscal and monetary
policy is 1.5 – 2 years)
Top-down vs. bottom-up assessment
Key Issues - 5
Capacity Building




MoF – “being bureaucrats”
NBU – “being bankers”
Outsourcing – nice option but…
Academic education
In-service training
Thank you for your kind
attention!