How does the central bank work?

Money is oxygen for the modern financial system. And you and I cannot live without him. But who supplies us with this oxygen? This function is assigned to the Central banks of states. All of them work approximately according to the same scenario, the difference is only depending on each other.

The basic duty of the Central Bank is the issue of money and its sale in one form or another. His actions are decisive for economics whole country. It is he who decides how much money needs to be issued and where they should go.

However, there is a central bank in the world that affects the rest of the world. This is the US Federal Reserve, or simply the Fed. The actions of this bank, whether it is raising the key rate or withdrawing large volumes of dollar liquidity, affect most economies in the world, especially developing ones.

Dear reader, to leave comments on the publication, you must sign in.