Czech National Bank´s foreign exchange interventions and their impact on Czech Republic´s economy.

Bc. Dominik Pechr

Master's thesis

Abstract:

This diploma thesis focuses on the role of the Czech National Bank and on monetary policy and the steps taken by the Czech National Bank in order to meet its obligations and objectives, especially in the area of price stability and also in support of the growth of the economy. Attention, in this thesis, is paid mainly to interventions taken by the Czech National Bank in the foreign exchange market in November 2013, which were supposed to be the main tool for suppressing the increasing deflationary pressures faced by the Czech Republic in the course of 2013. The aim of this work is to analytically vindicate the correctness of the decision of the Czech National banks.This diploma thesis is divided into two parts. The theoretical part accounts for roughly half of this work and focuses on the role of the Czech National Bank, its monetary policies and the instruments and mechanisms related to it, as well as concepts such as inflation and deflation, which led the Czech National Bank to intervene in the foreign exchange market.The second part of this work focuses on the evaluation of the real effects of the Czech National Bank's actions on the foreign exchange market on the Czech economy, its growth and development. This analysis is undertaken with the help of basic macroeconomic indicators.

Keywords

Exchange rate, Czech National Bank, Monetary policy

Jazyk práce: English

Datum vytvoření / odevzdání či podání práce: 26. 3. 2018

Obhajoba závěrečné práce

• Vedúci: doc. Ing. Mansoor Maitah, Ph.D. Ph.D.

Czech University of Life Sciences Prague

Faculty of Economics and Management

Master programme / odbor:
Economics and Management / Economics and Management