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Central Bank 

 
Functions of the Central Bank:
  • implementation regulation and supervision of the banking industry
  • controls the nation's entire money supply
  • the Government's banker and the bankers' bank ("Lender of Last Resort")
  • manages the country's foreign exchange and gold reserves and the Government's stock register
  • setting the official interest rate - used to manage both inflation and the country's exchange rate and
  • ensuring that this rate takes effect via a variety of policy mechanisms.

 

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