Methods of Monetary Policy in Macroeconomic Sustainability

development of the money market. In a market economy, especially in the first stage of change, direct and indirect tools are used, the latter shift the first.

The latter goal should be considered as one of the aforementioned strategies, with a focus on general economic policies, including fiscal, monetary, foreign trade, structural, and other policies. Intermediate goals are implemented directly by indirect central bank instruments.

National Bank conducts its monetary policy. The monetary base can be regulated by the following monetary policy instruments:

- refinancing rate: setting the official interest rate;

- establishment of minimum mandatory reserve requirements established by the National Bank of Kazakhstan, including the classification of funds taken from the terms, volumes and types of external assets;

- conducting transactions in the money market when buying and selling government securities;

- banks and government lending;

- currency aggression;

- introduction of quantitative restrictions on the level and volume of certain types of credit operations;

- official registration (discount rate) [3].

The monetary policy of the Republic of Kazakhstan is aimed at implementing the package of measures of the National Bank for the introduction of inflation targeting up to 2020, aimed at ensuring price stability and 3-4% inflation in the medium term.

The National Bank’s complex will focus on improving the mechanism for transferring monetary policy, improving the structure of monetary policy and creating a forecasting system, and creating a decision-making system.

Taking into account the situation in the domestic market and the situation in external financial and commodity markets, the main directions of monetary policy will be formed annually to achieve the inflation target. At the same time, the target inflation target will be determined annually by the Board of the National Bank.

To achieve these goals, the National Bank will regulate short-term liquidity through open markets, fixed-rate operations, and minimum reserve requirements.

The main purpose of transactions in the open market is to manage the level of money in the money market. The National Bank will provide liquidity on an auction basis as part of open market operations. In case of excess of liquidity, the auction for the removal of the main liquidity is put up for auction.

The National Bank will continue to issue 28, 91 and 182 days of short-term notes. As part of regular access transactions, liquidity will be provided at the request of banks. Deposits of the National Bank will be available on a regular basis for 1 day and 7 days [4]. According to the monetary policy of the Republic of Kazakhstan until 2020, the introduction of inflation targeting is a transition to the exchange rate.

The government and the National Bank decided to switch from a floating exchange rate of tenge from August 20, 2015. The exchange rate of tenge will be formed on the basis of market supply and demand, taking into account the fundamental external and internal macroeconomic factors.

Exchange rate fluctuations may weaken and strengthen. Although the National Bank does not interfere in the formation of the tenge exchange rate market, it retains the ability to participate in the domestic foreign exchange market through currency interventions in the event of a threat of destabilization of the country's financial system. The formation of a market exchange rate creates the conditions for steady growth and absorption of internal shocks. Floating exchange rate increases the impact of interest rates of the National Bank on short-term money market rates. In turn, money market rates affect the cost of credit and investment in the economy, business activity and inflation.

The National Bank balances the main goal of monetary policy pricing stability and contributes to the stability of the financial system due to potential scenarios of economic development. The implementation of monetary policy measures will be aimed at creating the conditions for stable and long-term economic growth and maintaining inflation in the target corridor. The Government of the Republic of Kazakhstan and the National Bank of the Republic of Kazakhstan are responsible for ensuring the stability of prices in the domestic market in order to prevent inflation growth and maintain it in the planned corridor will continue to implement a set of measures [4].

External and internal factors that affect price fluctuations in the consumer market will be monitored promptly. Measures to support food prices and fuel prices will be taken to create conditions for the development of competitive domestic markets, pricing and unfair competition. To restore the domestic market and stabilize prices for major types of petroleum products, it is planned to approve a schedule for the supply of petroleum products in the regions and cities of Astana and Almaty and establish maximum allowable prices for gasoline and diesel fuel. Work will continue on the creation and use of regional stabilization funds for food products in order to regulate the food market and prevent the unreasonable growth of speculative and price fluctuations, as well as the normalization of seasonal fluctuations. In order to stabilize the prices of socially important food products, the practice of determining the threshold values of retail prices for socially important food products will continue [4]. Domestic manufacturers will be supported to provide the domestic market with food. In particular, subsidizing the cost of purchasing herbicides, fuel and lubricants, fertilizers in plant breeding, subsidizing animal husbandry in animal husbandry, producing animal products, subsidizing state veterinary services in veterinary medicine, subsidizing interest rates on loans from processing companies.

The growth of tariffs for the subjects of natural monopolies will be limited by the permissible share of inflationary tariffs for regulated services.

In order to maintain the stability of the financial sector, the National Bank will continue to fulfill its obligations to identify, evaluate and reduce systemic risks and threats that affect the normal functioning of the financial system and further improve the overall macroprudential regulation. The growth of tariffs for the subjects of natural monopolies will be limited by the permissible share of inflationary tariffs for regulated services. In order to maintain the stability of the financial sector, the National Bank will continue to fulfill its obligations to identify, evaluate and reduce systemic risks and threats that affect the normal functioning of the financial system and further improve the overall macroprudential regulation. One of the key tasks in the medium term is to improve the quality of the loan portfolio of the banking sector by reducing the share of non-performing loans to prudential standards to 10%. To meet this requirement, legislation regulating the regulation of problem loans will be optimized, and the activities of the Problem Loan Fund will be improved.

In addition, a strategy will be developed to create an efficient infrastructure of the asset market, which will create additional opportunities for their management. In order to further strengthen the capital base of banks, efforts will be made to increase their resilience to potential shocks and threats, as well as to increase their absorptive capacity. Starting from 2016, requirements for the minimum size of private and authorized capital will be increased for banks. By 2019, the phased implementation of the Basel Committee on Banking Supervision will be completed in terms of capital adequacy. The National Bank will further improve the established requirements, including the parameters and conditions for the implementation of regulation of capital balancing buffers in practice. A regulatory system will be developed for system banking groups, which will establish additional requirements for capitalization, liquidity and risk management systems. In the medium term, the National Bank will introduce new liquidity ratios of banks, as well as incentives to use more reliable sources of financing to increase the stabilization of the situation in banks.

The policy in the industry contributes to the further development of the banking sector of Kazakhstan, increasing stability and competitiveness [5].

The concept of the new fiscal policy of the Republic of Kazakhstan on the formation of a stable, efficient system of public, quasi-state and external debt management is based on the Basic Provisions of the Concept of public and public debt management, as well as public and quasi-public debt, totaling 22% of GDP by 2020 Amendments to the threshold limit.

In order to prevent risks from concentrating risks in the quasi-public sector and to prevent overheating of the debt burden, the government controls the debt and financial stability of controlled entities, according to which borrower participation will be based on four main types of risks:

1) liquidity risk (imbalance of financial assets and financial liabilities within the specified time interval);

2) credit risk (failure to perform or improper performance of obligations);

3) currency risk (currency fluctuations);

4) interest rate risk (floating interest rate fluctuations).

The following issues will be addressed to prevent the growth of debts of state-controlled organizations:

- the creation by government organizations of foreign borrowing, the provision of mandatory consent and approval of the central authorized body for state planning;

- the possibility of imposing a ban on foreign borrowing of state- controlled organizations approved by the central authorized body for state planning;

- exchange of information on the debt of the quasi-public sector in the context of individual subjects among the interested state bodies [5].

In order to maintain the country's debt burden, the ongoing monitoring and assessment of the state of debt of state-controlled organizations, taking into account possible threats and crises, will continue.

Bibliography:

1. Lukhmanova G. K. Daynaya-credit policy of the Republic of Kazakhstan. Tutorial. - Taldykorgan, 2014. - 129.

2. C.B. Makysh. Cash flow and credit. Textbook. - Almaty, Kazakh University, 2011.- 248 p.

3. Kosheninova B. Money, credit, banks, currency relations. Textbook.

- Almaty: “Economy”, 2012. - 118 p.

4. The monetary policy of the Republic of Kazakhstan until 2020 was approved - the National Bank of the Republic of Kazakhstan.

http://www.kazinform.kz/eng/article/2776226.

5. The basic principles of monetary policy. Official site of the National Bank of the Republic of Kazakhstan. http://www.nationalbank.kz/.

1.2. The Effectiveness of Management of Public Service