between the volumes of the banking and non-bank sectors of the market and its low
ability to compete with the financial services markets of European countries. We have
also determined other problematic aspects of Ukrainian financial market and its
functioning: shrinking number of clients of financial institutions, high cost but at the
same time low quality of financial products and services, lack of support from the state
as well as mechanisms for guaranteeing deposits of legal entities and investments in
the market of joint investment, etc.
Fourthly, the possibilities of using the modern financial market and the activities
of its professional participants in the process are established the goals of monetary and
fiscal policies. In particular, involving financial products and services, as well as
demand and supply of them is able to increase the efficiency of monetary and tax
policy. Lower rates on credit offers could increase the volume of loans, which would
enhance business development and expand the tax base. If cash settlements are
minimized, which is possible on condition that the population increases the use of
alternative financial services, the amount of shadow financial transactions will
decrease, and tracking various types of tax breaches will be easier for fiscal authorities.
Also, a positive result for the achievement of the objectives of financial policy will be
the reduction of the budget pressure on the financial provision of the needs of the
population of retirement age, the ability to control cash flows and identify sources of
their occurrence in the event of a high level of financial inclusion of individuals and
legal entities; creation of reserves and additional opportunities to cover the budget
deficit. In addition, reducing cash in circulation will facilitate the implementation of
monetary policy in terms of money supply control, the need for its replenishment at the
expense of additional emissions, etc.
The prospects for further research in the chosen scientific field's authors are to
develop strategic priorities and target benchmarks for the formation of modern fiscal
and monetary policy, taking into account the need for their assistance in stabilizing and
developing the domestic financial market during the post-crisis recovery of the
Ukrainian economy.
BIBLIOGRAPHICAL REFERENCES
1.
Senay Ö. (1998) The Effectiveness of Monetary and Fiscal Policy with
Different Degrees of Goods and Financial Market Integration. Discussion Papers
98/14, Department of Economics, University of York [in English].
2.
Akitoby, B. and Stratmann, T. (2008) Fiscal Policy and Financial Markets.
Economic Journal, 118, 1971–1985 [in English].
3.
Stiglitz, J. (2002) Financial Market Stability and Monetary Policy. Pacific
Economic Review, 7:1, 13-30 [in English].
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