Yeni Bir Para Politikası Aracı: Rezerv Opsiyon Mekanizması

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EY International Congress on Economics I (EYC2013), October 24-25, 2013, Ankara, Turkey.

[English Title] A New Montary Policy Instrument: Reserve Options Mechanism[ English Abstract] After the global financial crisis, it was observed increasingly capital flow to less developed and developing countries. As a consequence of that fragility of the financial system has experienced in these countries. Nowadays, objective of most of the central banks is not only maintain price stability but also financial stability. So, many central banks have researched on new monetary policy instruments. The Central Bank of the Republic of Turkey designed and launched the unconventional monetary policy instruments for prevents to fragility of the financial system. One of those instruments is Reserve Options Mechanism. Reserve Options Mechanism is an instrument unique to the Central Bank of the Republic of Turkey and it is the option to hold foreign exchange or gold reserves in place of Turkish Lira reserve requirements of Turkish banks. It is reputed to as an automatic stabilizer Reserve Options Mechanism reduces effects of excess capital flow volatility and exchange rate volatility and useful policy instrument for macroeconomic and financial stability. The aim of this study is to introduce an unconventional monetary policy instrument designed by the Central Bank of Turkey, Reserve Option Mechanism, and research on its effect of the financial system in Turkey. English Keywords] Reserve Options Mechanism, unconventional monetary policy, financial stability The text is part of a series EY International Congress on Economics I (EYC2013), October 24-25, 2013, Ankara, Turkey Number 291 2 pages