The objective of this study is to investigate the impact of monetary and fiscal policies on ensuring financial stability. This research is applied in terms of objective, descriptive-causal (causal-explanatory) in nature, and quantitative in execution.

The statistical population comprises quarterly time-series data of the Iranian economy from the first quarter of 2006 to the fourth quarter of 2024. Data were collected from reputable domestic and international sources and, where necessary, converted into quarterly frequency using the Denton temporal disaggregation method. To analyze the findings, the Autoregressive Distributed Lag (ARDL) model and the Error Correction Model (ECM) were employed to examine short-term and long-term relationships between monetary, fiscal, and financial stability variables.

The results indicate that regarding monetary policy, an increase in the central bank’s policy interest rate has a significant negative impact on financial stability in both the short and long term. Regarding fiscal policy, real tax revenues exert a significant negative impact on financial stability in the short term, but have a significant positive impact in the long term. Strategic interactions: Contrary to expectations, the examination of strategic interaction between monetary and fiscal policies (from a game theory perspective) revealed that these interactions have not had a significant marginal or synergistic effect on the financial stability index during the period under review. These findings emphasize the necessity of considering temporal dimensions in macroeconomic policy-making and the importance of long-term fiscal discipline. Furthermore, the rejection of the strategic interaction hypothesis highlights the need for further investigation into policy coordination mechanisms.