The article describes the overall economic situation in the world before the global crisis of 2007-2009. The author analyzed the actions of monetary authorities of developed countries and revealed the main mistakes that caused the global crisis, which challenged the conventional views on the role of the monetary policy. The article also addresses inefficient actions and counter measures of monetary authorities during the crisis, which resulted in initiating new measures in developed countries, such as quantitative easing and zero bound of the key interest. In practice and in scientific literature, these measures are known as unconventional measures of monetary policy or unconventional monetary policy. Based on the analysis of unconventional measures, the author describes the main differences between the actions of monetary authorities of developed and developing countries. For some developing countries, the author presents the taken unconventional monetary policy measures, which are divided into three major areas: increasing domestic liquidity, foreign exchange easing, and credit and quantitative easing. As a result, the article identifies the following lessons of the global crisis for the monetary policy of developing countries: the principle of one objective and one instrument is not the best basis of monetary policy during a crisis; a clearly defined objective of price stability is essential for a solid anchoring of inflation expectations; price and financial stability are complementary; the independence of central banks is important to ensure price stability; availability of high demand for national bond market development; exchange rate is extremely important for a small open economy. The author concludes that in the globalized world, conventional instruments of monetary policy may not always be sufficient for crisis-fighting; therefore there is a need to take non-conventional measures.
Keywords: monetary policy, financial crisis, interest rate, unconventional monetary policy measures, central bank, exchange rate, price stability, financial stability
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