The loan in modern conditions is an object of active state regulation. In general, monetary credit regulation is a set of measures of the state regulating the activities of the monetary system, indicators of money circulation and credit, loan capital markets, the order of cashless settlements in order to influence the economy. The Central Bank is the main, but not the only regulatory body. There is a whole complex of regulatory authorities. When carrying out credit regulation, the state pursues the following objectives: influencing the credit activity of commercial banks and directing regulation to expand or reduce lending to the economy, it thus achieves stable development of the domestic economy, strengthening of monetary circulation, support of national experts in the external market. Thus, the impact on the credit allows achieving deeper strategic objectives of the whole economy development as a whole. For example, the lack of free cash for enterprises makes it difficult to carry out commercial transactions, domestic investments, etc. On the other hand, the excess money supply has its drawbacks: the depreciation of money, as a consequence, the decline in living standards of the population, the deterioration of the currency situation in the country. Accordingly, in the first case, monetary policy should be aimed at expanding the credit activities of banks, and in the second case - at its reduction, the transition to the policy of "expensive money".
State regulation of credit and financial institutions is one of the most important elements of development and formation of the capitalist countries' credit system.
The main directions of state regulation are as follows:
1. the policy of the central bank with regard to credit and financial institutions, especially banks;
2. Government tax policy in mixed (parastatal) or state credit institutions;
3. legislative measures of the executive and legislative authorities regulating the activities of various credit system institutions.
In industrialized countries, the policy of the central bank mainly covers commercial and savings banks and is implemented in the following forms: accounting policy; regulation of required reserves; open market operations; direct impact on credit.
The central bank's accounting policy is to account for and recalculate commercial promissory notes received from commercial banks, which in turn are received from industrial, commercial and transport companies. The Central Bank issues credit resources for payment of promissory notes and sets the so-called discount rate. As a rule, the accounting policy of the central bank is aimed at limiting the re-registration of promissory notes, setting the maximum amount of credit for each bank. Thus, the impact on the volume of issued loans is carried out. Accounting policy is usually combined with the state regulation of interest rates on deposits and loans. Although banks mainly determine interest rates on deposits and loans independently, they are nevertheless guided by the central bank's interest rate, the so-called discount window. At the same time, it should be noted that each country has its own specific accounting policy, which is determined by traditions, development of the credit system, and the role of the state and the central bank in the economy.
The next form of regulation of the central bank is to determine the norm of required reserves for commercial banks. The meaning of this form of regulation is that commercial banks are obliged to keep a part of their credit resources on an interest-free account with the central bank. The reserve rate may decrease or increase depending on the capital market conditions. Its increase leads to the restriction of credit expansion of commercial banks and, conversely, to the expansion of credit resources. Reserve rates vary considerably by country and range from 5 to 20.
Reserve regulation policies mainly cover all types of banks (and, in some countries, some special financial institutions) that determine interest rates on loans. Most other financial institutions follow commercial banks in interest rate policies. With the help of the reserve rate, the central bank affects the overall lending interest rate, which, in turn, affects the yield of certain securities (stock and bond prices).