Brici state monetary transmission: How strong is the ardl panel model predicting the final goal?

This study aims to analyze the ability of the ARDL panel to detect the monetary transmission of BRICI countries. This research problem includes the transmission that is difficult to detect until the final target. The emerging market countries chosen were India, Brazil, China, Russia, Indonesia. Data analysis uses the ARDL Panel’s long-term analysis. The ARDL Panel results conclude that the ability of monetary transmission in the inflation expectation path of the BRICi country can be explained by the money supply, investment, interest rates, consumption, while GDP and the exchange rate are less able to detect monetary transmission due to exchange rate coverage and GDP is only short-term. Brazil’s monetary transmission determines the final target, GDP, Russian monetary transmission, the final target, namely interest, money supply, and investment. Monetary transmission in China and India determines the ultimate goal of interest and consumption. Indonesia’s monetary transmission determines the ultimate goal of interest and exchange rates.