THE COUNTRY’S MONETARY POLICY IN AN ECONOMICALLY UNSTABLE ENVIRONMENT

The article analyses the specifics of the country's monetary policy implementation in economically unstable conditions. The search for innovative forms of monetary activity during the crisis has made it possible to assert that the main goal of the country's monetary policy is to ensure its financial and economic stability. Such stability is directly dependent on banking activities at the macro and micro levels. It is noted that the National Bank is the main financial institution of the country, which determines the level of price policy. It is indicated that the priority task of the National Bank's monetary policy is to maintain price stability, i. e. low and stable inflation rates. The article studies the current situation of the financial and banking sector of Ukraine's economy. It is found that in the crisis period from 2022–2023, Ukrainian banks did not incur significant costs. It was found that the costs of defaults were compensated by the dissolution of reserve portfolio assets. It is noted that such a situation is atypical, and hence there is no reason to expect a similar situation in 2024. It is noted that the reduction in the level of the National Bank's discount rate has led to a devaluation of the yield of the main groups of interest-bearing assets of banks. It has been found that banks have reduced deposit rates, primarily for small and medium-sized businesses. It is specified that a permanent increase in the tax rate will have a significant impact on the profitability of banks. Such a step would allow the National Bank to quickly replenish its capital. The analysis of systemic risks in the financial sector showed positive assessments of its current state. It has been found that the increase in the level of profitability of banking activities was facilitated by the growth of borrowed capital. It is stated that an innovative step in the banking system in 2023 was the decision to introduce a tax on «excess profits» from banking activities, which will somewhat improve the financial situation related to military expenditures, since the funds received from «excess profits» are planned to be used to finance military expenses. In conclusion, it is noted that innovations in the system of implementing the state's monetary policy should be aimed at attracting macrofinancial crisis assistance for the development of the banking sector.