The turnover on the Money Market continued to increase also in 2008 and 2009, with the average monthly turnover reaching the level of Denar 3,813 million, i.e. Denar 4,187 million, respectively. The deepening on the Money Market is largely a result of the activities the National Bank and ACI – Financial Markets Association undertook in the that period: introduction of electronic trading platform; introduction of the interbank interest rate for selling Denar deposits calculated from the quotations of the reference banks (SKIBOR); and initiation of the calculation and disclosure of the interbank interest rate for concluded overnight transactions by the reference banks as sellers of Denar deposits (MKDONIA) etc. All of these activities resulted in improved market transparency, easier matching of the supply and the demand and creation of interest rates on the basis of information on the market condition in real time. Such stable movements on the Money Market, exactly in the segment of non-collaterized borrowing, were indicator that in the period when the rest of the world economy faces with a serious banking crisis, the banking system of the Republic of Macedonia remained relatively safe and sound. This is contributed by several factors: orientation of the Macedonian banks towards traditional banking activities, direction towards domestic market and absence of utilization of structural products and execution of complex financial activities, as well as low dependence on the external sources of financing.
However, thus the procyclical nature of the banking operations and the banks' tendency for larger relaxation of the credit activity standards in periods of growth are proven, which in time of economic activity deceleration, through risks reassessment, results in higher loss volume due to impairment and restraint from crediting non-financial entities. And the last, however key question: What are the challenges for the forthcoming period? It is definitely clear that there is a need of a comprehensive response to the world financial (banking) crisis. In his new book "The Return of Depression Economics and Crisis of 2008"), Paul Krugman says: "How did this second colossal muddle arise? In the aftermath of the Great Depression we redesigned the machine so that we did understand it, well enough at any rate to avoid big disasters. Banks, the piece of the system that malfunctioned so badly in the 1930s, were placed under tight regulation and supported by a strong safety net. Meanwhile, international movements of capital, which played a disruptive role in the 1930s were also limited [due to the regulations]. The financial system became a little boring but much safer. Then things got interesting and dangerous again. Growing international capital flows set the stage for devastating currency crises in the 1990 of the 20th century, and for a globalized financial crisis in 2008. The growth of the shadow banking system, without any corresponding extension of regulation, set the stage for latter-day bank runs on a massive scale.