Shapoval Y. Impact of international capital flows on the formation of money supply in Ukraine

The object of study is the process of forming a money supply in a small open economy. The purpose of the study is to deepen theoretical propositions, methodological approaches to the formation of money supply in small open economies under the influence of the IPC and to develop practical recommendations for improving the process of money supply formation in Ukraine in the conditions of capital movement liberalization. The basis of the study is the fundamental theory of money and credit. In the process of solving these tasks were used general scientific and special methods of scientific cognition: analysis and synthesis (in the systematization of theoretical foundations of the formation of money supply, clarification of the concept of financial openness of the economy), scientific abstraction, comparison and generalizations (in the study of indicators of the assessment of financial openness of the economy clarification of the essence, prerequisites and sequence of the liberalization process), historical (to determine the factors and trends of the IPC movement), systematic generalization and analysis logistic (to systematize the world experience of liberalization and application of control), statistical, trend and graphical analysis (when evaluating monetary support of the Ukrainian economy, determining the features of functioning of credit, currency and stock channels of money issue), methods of correlation-regression analysis (in the study of relationships inflows and outflows of capital, discount rate and money supply), the method of theoretical generalization - in formulating conclusions. The scientific novelty of the obtained results is to deepen theoretical approaches and substantiate practical recommendations for improving the mechanism of formation of money supply in a small open economy under conditions of capital movement liberalization. The peculiarities of money supply formation in a small open economy were first disclosed. It has been improved: the interpretation of the financial openness of the economy; scientific and methodological approach to the study of the process of capital movement liberalization. The following issues were further developed: substantiation of the specific imbalances in the provision of money in the Ukrainian economy; scientific and practical approaches to the regulation of the IPC in Ukraine; identification of the factors that determine the current trends of the IPC movement; assessing the priority of IPC flows to Ukraine (based on debt and non-debt flows); practical suggestions for increasing confidence in the monetary open economy. The practical significance of the obtained results lies in the development of scientific and methodological provisions and practical recommendations regarding currency control and liberalization of the IPC and monetary support of the Ukrainian economy. Taking into account the impact of the inflow and outflow of capital on changes in the volume of money supply will help to make effective management decisions in the field of monetary policy. Some scientific results have been used in the department of e-commerce and means of payment of JSC Oschadbank based on the conclusions about insufficient monetary support of the Ukrainian economy (reference № 115902 of 11.06.2019). Field of use: the financial sector and monetary policy.