Innovation science and technologiy 2-том 5-нөмір (2026)
THE IMPACT OF INFLATION ON THE ECONOMY AND WAYS TO REDUCE IT
Abdullaeva, Zulfiya, Ashurova, Jasmina
Аңдатпа
This article examines the impact of inflation on the national economy and analyzes modern economicapproaches to controlling it. The inflation rate has a direct influence on macroeconomic stability in many countries, includingdeveloping economies. According to the International Monetary Fund (IMF) and the World Bank, global inflationary pressureduring 2023–2025 was mainly associated with fluctuations in energy prices, disruptions in supply chains, and the expansionof monetary policy.The study analyzes the effects of inflation on the Consumer Price Index (CPI), real household incomes, the investmentclimate, and exchange rates. In addition, the dynamics of inflation and the monetary policy instruments of the Central Bankunder the conditions of Uzbekistan were examined. The findings indicate that rising inflation reduces the purchasing powerof the population, increases economic uncertainty, and negatively affects investment activity. The article proposes effectivemethods for reducing inflation based on monetary, fiscal, and structural reforms
CPI, monetary policy, Central Bank, credit and monetary policy, economic stability, real income, fiscal policy, exchange rate, supply and demand
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