SESRIC


Training Course on “Inflation Targeting” at the National Bank of Tajikistan
 
Date : 29 November - 01 December 2010 Venue : Dushanbe Tajikistan

The Centre organised a training course on “Inflation Targeting” at the National Bank of Tajikistan on 29 November – 1 December 2010. The course was provided by Ms. Neslihan Kaya, expert from the Central Bank of the Republic of Turkey and was attended by 8 staff members of the National Bank of Tajikistan.

The training course on “Inflation Targeting” mainly covered the following subjects:

Turkish Monetary Policy Experience Prior to Inflation Targeting

  • Monetary policy implementations of the CBT before 2001-2001 crisis
  • Implicit inflation targeting period (2002-2005), fulfilling the necessary prerequisites for inflation targeting

Operational Framework for Inflation Targeting: The Case of Turkey

  • The current framework of full-fledged inflation targeting period: 2006-onwards
  • Independence, transparency and accountability issues
  • Altering the target, target range, policy tool, etc. and its implications

Forecasting and Policy Analysis System (FPAS) at the CBT

  • What is FPAS?
  • How does the CBT exercise the FPAS process?
  • The underlying model and its role during the process
  • Underlying monetary transmission mechanism
  • Main blocks of the core model

Monetary Transmission Mechanism in Emerging Market Economies: Case of Turkey

  • Common characteristics of an emerging economy
  • Conventional channels in the MTM
    • Aggregate demand channel
    • Expectations channel
  • Possible breakdowns in conventional channels: Empirical evidence from Turkish economy

Turkish Monetary Policy Experience with the Recent Global Crisis

  • Policy measures taken during the crisis
    • Conventional measures
      • Policy rate cuts
    • Unconventional measures
      • Measures to prevent volatility in money markets
      • Measures to ensure the smooth functioning of credit markets
      • Measures to directly support the real sector

The aim of this training course was to improve the capacity building and performance of the National Bank of Tajikistan on “Inflation Targeting”.