money and banking Flashcards
1
Q
What is a central bank?
A
A central bank is the apex body that controls operates regulates and directs the monetary and financial structure of the country
2
Q
What are the functions of a central bank?
A
Banker to Bank Banker makes payments and collects receipts gives loans and andvances maintains a current account agent - maintenance of public debt financial advisor issus currecny uniformity governement supervision and regulatuion stabilisation of value
Banker to banks lender of last resort clearing house - intermediary between buyer and seller custodian of cash reserves controlling money suplly
