Klaipėdos universitetas

The main purpose of this article is twofold. The first objective is to follow the main trends in the development in the Latvian’s monetary policy and the European Monetary system accession process, with a focus on the local currency stability problems. It discusses the process and strategies for choice of the strategy as well as the main issues that have arisen in the accession process. The second objective of this article is to investigate the on-going monetary policy of the Bank of Latvia, to analyse the basic principles of its operations and influence on national economic growth. Both objectives fully corresponding to the article’s research object, i.e. to a monetary policy of the Bank of Latvia. Regarding the developed countries the general monetary policy objectives deals not only with maintenance of stability of the exchange rate and general price level, but also with stimulation of economic development, growth of employment and incomes of the citizens. The period from 2003 till 2010 is being investigated. We use a wide range of research methods, such as: grouping method, method of comparison of financial ratios and etc.

The author considers scientific background of the methods and instruments of monetary policy under the integration conditions in the post-Soviet space. Analysis of formation conditions of the Economic and Monetary Union of Russia, Belarus, Kazakhstan, Armenia and Kirgizstan is presented. Findings about the expediency of the use of various theoretical approaches to regulation of exchange rate within the formation of state’s currency policy under globalization conditions are introduced. Problems of monetary and currency policy along with directions of their development in the Eurasian Economic Union (EAEU) are discussed. The directions of monetary and currency policy coordination within EAEU are offered. The author defines possibilities of their realisation under present conditions.