Interest rate as a monetary policy instrument in the context of the crisis and post–crisis period

The subject of research – the monetary policy of the state in a crisis. The purpose of this article is to analyze and systematize the use of interest rates as a key instrument of monetary policy in the crisis and post–crisis period. Research methodology – methods of abstraction and generalization (in the systematization of measures to adjust the NBU key policy rate of in 2020–2021); analysis and synthesis (in substantiating the stages of implementation of the NBU’s monetary policy in the context of the corona crisis). Results – It is substantiated that in the conditions of the COVID–19 pandemic the priority of the governments of the states becomes maintenance of stability of the national economic system through effective use of tools of monetary regulation. It is proved that the policy of monetary institutions of the world (including Ukraine) at this stage should be formed on the basis of accumulated world experience of monetary regulation in crisis periods, and take into account the dynamics of economic development and the specifics of national business environment. It is substantiated that the high level of uncertainty of business processes and falling consumer demand require central banks to adhere to soft monetary policy in order to revive business activity and reduce social tensions, which confirms the anti–crisis policy of the US Federal Reserve and the European Central Bank as leading financial regulators. The monetary policy of the National Bank of Ukraine during 2020–2021 in terms of adjusting the discount rate as a key instrument of monetary regulation is analyzed. It is confirmed that the monetary policy of the NBU in the recession COVID–19 and post–pandemic period is formed taking into account the dynamics of inflation and in accordance with the priorities of macroeconomic stabilization – recovery of business activity (lowering the NBU key policy rate) or curbing inflationary pressure (raising the NBU key policy rate). Given the dynamics of inflation and the key policy rate, three stages of the NBU’s monetary policy during the corona crisis of 2020–2021 have been identified. for the state by pro–inflationary factors in the form of deterioration of the information background against the background of geopolitical tensions. It is proved that overcoming the influence of adverse factors requires the financial authorities of Ukraine to use balanced and reasonable use of monetary regulation instruments in order to bring inflation closer to the target range. Field of application of results. Economic branch: management of national economy, macroeconomics, monetary policy. Conclusions – Further research should assess the likelihood of potential scenarios for overcoming devaluation pressures on the national currency under existing constraints, including: normalization of the information background, continued cooperation with the International Monetary Fund and failure to address potential pandemic risks in the form of new quarantine restrictions