Introduction: The central bank aims at providing financial and economic stability in the country. It supervises controls and regulates the activities of all the commercial banks and other financial institutions of the country. Thus central
Introduction: The central bank aims at providing financial and economic stability in the country. It supervises controls and regulates the activities of all the commercial banks and other financial institutions of the country. Thus central
Meaning of Liquidity: Liquidity refers to a bank’s ability to meet its short-term obligations and to convert assets into cash quickly without significant loss of value. Ensures that the bank can meet its financial obligations
cash transaction theory graph.
Meaning of Inflation: Inflation is a global phenomena. It occurs in every type of economy. Inflation is a condition with increasing prices which causes a decrease in the purchasing power of money. Inflation is a price
Meaning of Money Market: The money market refers to a part of the financial market where short-term lending and borrowing of funds takes place. It deals with financial instruments with high liquidity and short maturities,
Meaning of Money Market: The money market refers to a part of the financial market where short-term lending and borrowing of funds takes place. It deals with financial instruments with high liquidity and short maturities,
Meaning of Money Market: The money market refers to a part of the financial market where short-term lending and borrowing of funds takes place. It deals with financial instruments with high liquidity and short maturities,
Meaning of Commercial Banks: The bank which performs all kinds of banking business generally finance trade and commerce are called commercial banks. The functions of commercial banks are accepting deposits, advancing loans, credit creation and
Meaning: Commercial banks are profit-oriented institutions that play a very important role in the financial system. They operate and regulated by government authorities. Their primary objective is to provide financial services that help to facilitate
