PROSPECTIVE DIRECTIONS FOR MONEY MARKET REGULATION UNDER INFLATION TARGETING

Abstract

The money market constitutes a strategically important component of the modern financial system, contributing to macroeconomic stability by facilitating the redistribution of short-term funds and ensuring an adequate level of liquidity within the economy. In the context of current global economic uncertainty and external shocks, the effective regulation of the money market, the containment of liquidity volatility, and the achievement of price stability have become increasingly important for the national economy and financial system. In particular, Uzbekistan’s transition to an inflation-targeting regime largely depends on the effectiveness of the monetary policy transmission mechanism and, more specifically, on the formation of interest rates in the money market