DEVELOPMENT OF THE INDEPENDENCE PRINCIPLE OF NATIONAL CENTRAL BANKS

• Main Authors: Viorica BOAGHI, Liu ZAI QI
• Format: Article
• Language: English
• Published: Academy of Sciences of Moldova 2015-10-01
• Series: Akademos: Revista de Ştiinţă, Inovare, Cultură şi Artă
• Subjects: principle of independence; central banks; monetary finance; public service
• Online Access: http://akademos.asm.md/files/84_89_Evolutia%20principiului%20independentei%20bancilor%20centrale%20nationale.pdf

The treatment of national central bank’s independence raises more extensive questions in period of financial crisis management. The importance of this subject has increased researches in the context of the application of monetary finance prohibition to the public sector by the national central banks, and maintaining monetary policy in society. Present paper describes the views of researchers on the independence of national central banks and the practical aspects designed over the years. Those allow assessing the degree of independence of central banks in performing the basic tasks. Additionally in use of comparative and historic data, the paper analyzed the research views on principle of independence of national central banks versus the opinions of European Central Bank. The paper highlights the need to ensure by the state the application of interdiction of monetary finance to the public sector and the independence of the national central banks. The current paper is actual by underlining the independence of national central banks in the management of financial crisis as a crucial issue, including the Moldovan banking system.