Currency regulation in Russian banking system

Abstract

The liberalization of currency regulation in the 1990–2000s was «partial». To date, significant restrictions remain regarding the requirements of the law on the procedure for performing currency operations and the prohibitive nature of the activities of Russian business. Control mechanisms do not allow to achieve macroeconomic targets for the stability of the ruble. The authors state that there is a need for reform in this area. The monetary policy plays an important role in regulating the market economy. It is a set of measures implemented in the sphere of international monetary and economic relations in accordance with the current and strategic plans of the country. The monetary policy of Russia is aimed at ensuring stability of its currency and domestic foreign exchange market as factors of development of the national economy and international economic cooperation. This policy is implemented by including foreign currency denominated obligations in currency regulation. One of the means of implementing foreign exchange policy is currency regulation, which is understood as «a set of purposeful actions of the state to form or change existing public relations on currency values through the application of legal and economic measures of influence». The principle of state responsibility for national security and development of the national economy is a unique principle for the Russian legal system. This should be a constitutional principle common to all branches of the Russian law. The article analyzes to what extent the principles of legal security may influence the legal regime of currency control in the Russian banking system.