non-bank credit organizations. The paper proposes some policy recommendations to enhancing the MTM, including with respect to strengthening implementation of the recently developed FXI strategy .
A. MonetaryPolicyFrictions and Challenges
1. The National Bank of Moldova (NBM) formally adopted IT in 2013 after a three-year transition period . According to the NBM’s Monetary Policy Strategy, its first objective is to keep inflation at 5 percent with a variability range of ±1.5 percentage points, at a horizon of 18– 24 months. Its secondary objective is to