Implikacije procesa evropskih integracija na položaj i nadležnosti Narodne banke Srbije
Implications of European integration process on the position and responsibilities of the national bank of Serbia
Committee membersKrstić, Borko
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The role of monetary policy has increasingly gained in importance over time, and the effects of economic policy has become increasingly dependent on its courses of action. Stable monetary policy has become an essential condition for economic prosperity, and its proper formulation and implementation given precedence over the effects of fiscal policy. Cooperation and synchronization in the implementation of measures and instruments of monetary and fiscal policies are necessary to lead to the realization of the defined economic goals. With the growing importance of monetary policy, the position and role of the institution, in charge of its formulation and implementation, strengthen too. The role of monetary policy and the central monetary institution as the holder of the supreme monetary authority, depends on the economic structure of the country, the level of economic development and has experienced changes along with organisational changes in the country. In most countries, an instituti...on that is responsible for the management of monetary policy, ie its formulation, implementation and control, is the central bank. In the initial stages of development, the central bank served as the "banker of the country", ie the institution that was supposed to provide the necessary funds to the state for funding needs, which were most often motivated by increased war spending. At that time, creativity and the ability of monetary policy to contribute to macroeconomic stability and economic growth and development, by the combination of available measures and instruments, could not come to the fore. On the contrary, the realisation of the basic task was associated with encouraging inflation and devaluation of the national currency. However, given the conditions in which the central bank was established, it could not shape duties and functions, but in the way its founding reasons predicted. Time is a factor that had a positive impact on the strengthening of monetary policy and strengthening the role of the central bank, which resulted in an increase in the number of functions that are within its jurisdiction and the increasing degree of independence from the state authorities. Only as a modern, independent and effective institution, the central bank may be a key factor of stabilisation and economic development. Depending on whether the country conducts an independent monetary policy and its own currency, or is a member of a monetary union in which there is a single currency and a common central bank, makes a change of position and responsibility of the central bank. In the process of European integration, which has affected the countries of the Western Balkans, it is very important to prepare the institutions in the country to perform new tasks and new responsibilities. As part of dissertation, the advantages and disadvantages of membership in the monetary union and macroeconomic variables whose quantitative expression can be a good indicator for selecting the best moment of accession of the national economies to the wider monetary community.