Key Function of the Bank of Russia: Contradictions and Problems

Abstract

The article examines the most important categories, mechanisms, and instruments of the monetary policy of the Bank of Russia from the point of view of both its development and its implementation. The essence, origins and driving forces of the main contradiction of Russia's monetary policy are revealed. It is shown that monetary policy, along with the economic policy of the state, should act as a regulator of important meanings of human existence, such as the growth of real incomes of the population, directly affecting the redistribution of money – this market form of universal requirement for part of the national wealth. The author's position is presented, according to which inflation is not so much a macroeconomic indicator, as it is often customary to treat this phenomenon, as a fundamental process of a market economy that determines the redistribution of national wealth between economic entities through money. The authors identified and described the main problems and local contradictions in the development and implementation of a unified state monetary policy, presented a detailed description of these phenomena. The methodology of dialectical-systemic and logical analysis, which was used by the authors as a research tool, allowed for the first time to formulate the main contradiction of the unified state monetary policy. The presented formulation reflects the essential principles of the poles of contradiction – the contradiction between form and content. In order to solve the problems identified and existing for a long time, the authors justify the need to take priority organizational and legal measures, first of all, changing the statute, reforming functions, strengthening operational capabilities and staffing of the National Financial Council.