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Reserve requirement

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to implement their monetary policy. In many countries (except Brazil, China, India, Russia), reserve requirements are generally not altered frequently in implementing a country's monetary policy because of the short-term disruptive effect on financial markets. In several countries, including the United States, there are today zero reserve requirements.
860:, the central bank for the United Kingdom, previously set a voluntary reserve ratio, and not a minimum reserve requirement. In theory, this meant that commercial banks could retain zero reserves. The average cash reserve ratio across the entire United Kingdom banking system, though, was higher during that period, at about 0.15% as of 1999. 814:. The central bank will step in to lend a bank funds if necessary so that this does not happen. Historically, a central bank might have run out of reserves to lend to banks with liquidity problems and so had to suspend redemptions, but this can no longer happen to modern central banks because of the end of the 382:
system banks are not expected to hold cash to cover all deposits liabilities in full. One of the mechanisms used by most central banks to further this objective is to set a reserve requirement to ensure that banks have, in normal circumstances, sufficient cash on hand in the event that large deposits
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Bank deposits are usually of a relatively short-term duration, and may be “at call”, while loans made by banks tend to be longer-term, resulting in a risk that customers may at any time collectively wish to withdraw cash out of their accounts in excess of the bank reserves. The reserves only provide
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by limiting or expanding the amount of lending by the banks. Monetary authorities increase the reserve requirement only after careful consideration because an abrupt change may cause liquidity problems for banks with low excess reserves; they generally prefer to use other monetary policy instruments
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Jaromir Benes and Michael Kumhof of the IMF Research Department report that the "deposit multiplier" of the undergraduate economics textbook, where monetary aggregates are created at the initiative of the central bank, through an initial injection of high-powered money into the banking system that
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in 2009, banks were no longer required to set out a target, and so were no longer penalised for holding excess reserves; indeed, they were proportionally compensated for holding all their reserves at the Bank Rate (the Bank of England now uses the same interest rate for its bank rate, its deposit
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on its head. Benes and Kumhof assert that in most cases where banks ask for replenishment of depleted reserves, the central bank obliges. Under this view, reserves therefore impose no constraints, as the deposit multiplier is simply, in the words of Kydland and Prescott (1990), a myth. Under this
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From 1981 to 2009, each commercial bank set out its own monthly voluntary reserve target in a contract with the Bank of England. Both shortfalls and excesses of reserves relative to the commercial bank's own target over an averaging period of one day would result in a charge, incentivising the
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Many textbooks describe a system in which reserve requirements can act as a tool of a country’s monetary policy though these bear little resemblance to reality and many central banks impose no such requirements. The commonly assumed requirement is 10% though almost no central bank and no major
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to cover withdrawals within the normal pattern. Banks and the central bank expect that in normal circumstances only a proportion of deposits will be withdrawn at the same time, and that the reserves will be sufficient to meet the demand for cash. However, banks routinely find themselves in a
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Banks shall maintain minimum required reserves to the amount of 10% of the deposit base (effective from 1 December 2008) with two exceptions (effective from 1 January 2009): 1. on funds attracted by banks from abroad: 5%; 2. on funds attracted from state and local government budgets: 0%.
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Even in the United States, which retained formal reserve requirements until 2020, the notion of controlling the money supply by targeting the quantity of base money fell out of favor many years ago, and now the pragmatic explanation of monetary policy refers to targeting the
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of 1933, the Fed was granted the authority to set reserve requirements jointly with the president as one of several provisions that sought to mitigate or prevent deflation. The power was granted to the Fed, without presidential consent, in the Banking Act of 1935. Under the
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rate and its interest rate target). In the absence of an agreed target, the concept of excess reserves does not really apply to the Bank of England any longer, so it is technically incorrect to call its new policy "interest on excess reserves".
632: 387:. The central bank in some jurisdictions, such as the European Union, does not require reserves to be held during the day, while in others, such as the United States, the central bank does not set a reserve requirement at all. 961:, and 10% thereafter. The total removal of reserve requirements followed the Federal Reserve's shift to an "ample-reserves" system, in which the Federal Reserve Banks pay member banks interest on excess reserves held by them. 791:
uses changes in the CRR as a liquidity management tool, hiked it alongside SLR to navigate 2008 financial crisis. RBI introduced and withdrew Incremental - Cash reserve ratio I-CRR over and above CRR for managing liquidity.
2237: 348:(vault cash), plus the amount of the bank's balance in that bank's account with the central bank. A bank is at liberty to hold in reserve sums above this minimum requirement, commonly referred to as 489: 400:, when depositors wish to withdraw more funds than the reserves held by the bank. In that event, the bank experiencing the liquidity shortfall may routinely borrow short-term funds in the 933:
used to set reserve requirements (“liquidity ratio”) based on categories of deposit liabilities ("Net Transaction Accounts" or "NTAs") of depository institutions, such as
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uses changes in the reserve requirement as an inflation-fighting tool, and raised the reserve requirement ten times in 2007 and eleven times since the beginning of 2010.
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The total amount of all NTAs held by customers with U.S. depository institutions, plus the U.S. paper currency and coin currency held by the nonbank public, is called
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A zero reserve requirement cannot be explained by a theory that holds that monetary policy works by varying the quantity of money using the reserve requirement.
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Ahorny, Joseph; Saunders, Anthony; Swary, Itzhak (1985). "The Effects of the International Banking Act on Domestic Bank Profitability and Risk".
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regulations that set the minimum amount that a commercial bank must hold in liquid assets. This minimum amount, commonly referred to as the
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the total reserve ratio (the ratio of legally required plus non-required reserve holdings of banks to demand deposit liabilities of banks).
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while in the earlier years, long-term deposits financed short-term loans, now relatively short-term deposits finance long-term loans.
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from banks with a surplus. In exceptional situations, the central bank may provide funds to cover the short-term shortfall as
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One of the critical functions of a country's central bank is to maintain public confidence in the banking system, as under a
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Title 12 of the Code of Federal Regulations (12CFR) Part 204--Reserve Requirements of Depository Institutions (Regulation D)
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Central banks dispute the money multiplier theory of the reserve requirement and instead consider money as endogenous. See
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accounts of individuals. The Board for some time set a zero reserve requirement for banks with eligible deposits up to
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From 1971 to 1980, the commercial banks all agreed to a reserve ratio of 1.5%. In 1981 this requirement was abolished.
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This does not mean that banks can—even in theory—create money without limit. On the contrary, banks are constrained by
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Retain CRR at 45.00% for deposit money banks and increase that of merchant banks to 14.00% effective March 26, 2024
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the currency ratio: the ratio of the public's holdings of currency (undeposited cash) to the public's holdings of
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With higher reserve requirements, there would be less funds available to banks for lending. Under this view, the
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on March 27, 2020, thus eliminating reserve requirements altogether. Before that, the Board of Governors of the
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of 2007-2008, the government may try to restore confidence in the banking system, for example, by providing
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Submission to Inquiry into the Australian Banking Industry", Reserve Bank of Australia, January 1991
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abolished "statutory reserve deposits" in 1988, which were replaced with 1% non-callable deposits.
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Required reserve ratio on credit institutions' liabilities to non-resident has been raised to 4.0%
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The reserve ratios set in each country and district vary. The following list is non-exhaustive:
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Canada, the UK, New Zealand, Australia, Sweden and Hong Kong have no reserve requirements.
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The Federal Reserve reduced reserve requirement ratios to 0% effective on March 26, 2020.
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Statutory reserve deposits abolished in 1988, replaced with 1% non-callable deposits
627:{\displaystyle m={\frac {(1+c)}{(c+R)}}={\frac {1+{\frac {C}{D}}}{{\frac {C}{D}}+R}}} 256: 2614:"Federal Reserve Actions to Support the Flow of Credit to Households and Businesses" 2930: 2819: 2640: 2453: 1932: 742: 635: 495:(bank reserves plus currency held by the non-bank public) and the narrowly defined 441:. The multiplier effect on the money supply is governed by the following formulas: 434: 392: 261: 241: 200: 129: 61: 340:. Though the definitions vary, the commercial bank's reserves normally consist of 2774: 2769: 2347: 2056:
Lecture 8, Slide 4: "Central Banking and the Money Supply" from the presentation
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Effective 18 January 2012. Down from 2% between January 1999 and January 2012.
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Carter, Thomas J.; Mendes, Rhys R.; Schembri, Lawrence (18 December 2018).
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China cut bank reserves again to counter slowdown as of 29 February 2016.
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gets multiplied through bank lending, turns the actual operation of the
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With effect from 29 April 2011. 8% of total rupee deposit liabilities.
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theory, private banks almost fully control the money creation process.
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Financial Institutions and Markets: Structure, Growth and Innovations
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Reserve Requirements - Fedpoints - Federal Reserve Bank of New York
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Hussman Funds - Why the Federal Reserve is Irrelevant - August 2001
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A commercial bank's overnight reserves are not permitted to become
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See generally Regulation D, at 12 C.F.R. sec. 204.4 and sec. 204.5
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This limit on the money supply does not apply in the real world.
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Term deposits have a 33% RRR and savings accounts a 20% ratio.
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commercial bank to stay near its target, a system known as
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International Centre for Settlement of Investment Disputes
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Liquidity ratio and liquid reserves of deposit money banks
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Upon the parallel introduction of quantitative easing and
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of the bank. This rate is commonly referred to as the
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Effective 1 April 2011, up from 2.5% in January 2011.
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International Bank for Reconstruction and Development
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set by the Monetary Committee of the Bank of Israel.
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and eurocurrency liabilities on Dec 27, 1990 and for
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Countries and districts without reserve requirements
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shortfall situation or may experience an unexpected
2454:"Banca Naţională a României - Reserve requirements" 2220:"How to calculate the minimum reserve requirements" 2150:"China central bank cuts reserve requirement ratio" 1787: 641:, the factor by which lending and re-lending leads 357:The reserve ratio is sometimes used by a country’s 163:
List of financial regulatory authorities by country
1417:. 10% for foreign currency as of 24 October 2016. 1014:Raised from 5.50, effective from 15 December 2010 971: 887:Canada abolished its reserve requirement in 1992. 721: 690: 660: 626: 518: 483: 1840: 771:China's Reserve Requirement Ratio for large banks 2922: 2653:Reserve Requirements - The Federal Reserve Board 2618:Board of Governors of the Federal Reserve System 1981:Board of Governors of the Federal Reserve System 2185: 2183: 430:central bank imposes such a ratio requirement. 168:Financial Action Task Force on Money Laundering 2021: 1977:"Federal Reserve Board - Reserve Requirements" 818:worldwide, which means that all nations use a 484:{\displaystyle M_{1}={\mathit {MB}}\times m\,} 344:held by the bank and stored physically in the 2878:Central banks and currencies of the Caribbean 2683: 2326:. 5 December 2008 – via news.bbc.co.uk. 1855: 833:to control the broad money supply. (See also 298: 2888:Central banks and currencies of the Americas 2873:Central banks and currencies of Asia-Pacific 2362:"Abolition of compulsory ratio requirements" 2180: 1741: 437:compounds the effect of bank lending on the 226:Systemically important financial institution 2198:. Danmarks Nationalbank. 2009. p. 43. 1796: 1260:bailout (24.12.2008), Latvian Central Bank 937:including U.S. branches of a foreign bank, 853:with direct access to the clearing system. 82:International Financial Reporting Standards 2690: 2676: 2558:"Monetary Policy Announcement - July 2024" 2382: 2338:"Current Money and Financial Market Rates" 1750:(5th ed.). Pearson. pp. 522–532. 419: 305: 291: 1735: 1705:Bhole, L. M. (1982). "Commercial Banks". 1323:From 20 July 2014 (for commercial banks) 1262:decreased the RRR from 7% (?) down to 3% 480: 2845:Multilateral Investment Guarantee Agency 2507: 1907: 1891: 1889: 1797:Benes, Jaromir; Kumhof, Michael (2012). 1765:(5th ed.). Worth. pp. 482–489. 1468:Down from 27%, effective 1 January 2007 1191:Since April 2023. Up from 5.00 percent. 766: 736: 1916: 1687:"Monetary Policy Aims - Bank of Russia" 383:are withdrawn, which may precipitate a 14: 2923: 2883:Central banks and currencies of Europe 2868:Central banks and currencies of Africa 2718:Basel Committee on Banking Supervision 2324:"Lebanon 'immune' to financial crisis" 1817: 1815: 1778:"Money Creation in the Modern Economy" 1760: 668:to be a multiple of the monetary base: 27:Type of regulation on commercial banks 2835:International Development Association 2671: 2565:Central Bank of Trinidad & Tobago 1925:Journal of Money, Credit, and Banking 1886: 1754: 1704: 984: 2147: 2011:"eCFR – Code of Federal Regulations" 1951: 1652:Negative interest on excess reserves 757: 2406:"Reduction in Reserve Requirements" 2385:"Monetary Policy COMMUNIQUE No 151" 1959:"International Banking Act of 1978" 1812: 373: 24: 2713:Bank for International Settlements 1775: 1116:Down from 12%, from 10 April 2020 466: 173:Bank for International Settlements 25: 2962: 2840:International Finance Corporation 2697: 2634: 1761:Mankiw, N. Gregory (2002). "18". 921:removed reserve requirements for 913:International Banking Act of 1978 840: 2908: 2167:Decision on Reserve Requirements 2029:"The Fed - Reserve Requirements" 1910:A Program For Monetary Stability 1637:Monetary policy of central banks 1602:Criticism of the Federal Reserve 901: 634: : derived formula for the 424: 2663:Don't mention the reserve ratio 2606: 2578: 2550: 2538: 2501: 2476: 2464: 2446: 2428: 2398: 2376: 2354: 2330: 2316: 2291: 2280: 2255: 2230: 2212: 2160: 2141: 2115: 2094: 2073: 2050: 2039: 2003: 1994: 1969: 1901: 972:Reserve requirements by country 906:In the Thomas Amendment to the 751:monetary transmission mechanism 2744:Contractionary monetary policy 2299:"Minimum Reserve Requirements" 1864: 1769: 1697: 1679: 849:, commercial banks are called 575: 563: 558: 546: 13: 1: 1689:. 7 July 2001. Archived from 1673: 365:, to influence the country's 2749:Expansionary monetary policy 2517:Penning- & valutapolitik 2484:"Reserve base en Kasreserve" 2383:Tunde Alao (26 March 2024). 2368:. Vol. 48, no. 4. 1827:Hong Kong Monetary Authority 1799:"The Chicago Plan Revisited" 980: 939:savings and loan association 890: 7: 2815:International Monetary Fund 2414:Bangko Sentral ng Pilipinas 2370:Reserve Bank of New Zealand 2046:The Fed Fires ‘The Big One’ 1912:. Fordham University Press. 1806:International Monetary Fund 1574: 1559: 1546: 1533: 1520: 1508: 1496: 1484: 1471: 1458: 1445: 1433: 1420: 1403: 1390: 1377: 1364: 1352: 1339: 1326: 1313: 1301: 1289: 1277: 1265: 1246: 1234: 1221: 1206: 1194: 1181: 1169: 1157: 1144: 1132: 1119: 1106: 1094: 1081: 1069: 1056: 1044: 1030: 1017: 1004: 991: 908:Agricultural Adjustment Act 876:interest on excess reserves 10: 2967: 2488:Centrale Bank van Suriname 1860:(2nd ed.). Routledge. 1617:Fractional-reserve banking 1568: 1555: 1542: 1529: 1517: 1505: 1493: 1480: 1467: 1454: 1442: 1429: 1412: 1399: 1386: 1373: 1361: 1348: 1335: 1322: 1310: 1298: 1286: 1274: 1255: 1243: 1230: 1215: 1203: 1190: 1178: 1166: 1153: 1141: 1128: 1115: 1103: 1090: 1078: 1065: 1053: 1039: 1026: 1013: 1000: 380:fractional-reserve banking 196:Fractional reserve banking 2855: 2803: 2762: 2731: 2723:Financial Stability Board 2705: 2148:CNBC (29 February 2016). 1908:Friedman, Milton (1959). 1657:Statutory liquidity ratio 923:nonpersonal time deposits 882: 326:commercial bank's reserve 927:net transaction accounts 782: 762: 402:interbank lending market 2508:Lotsberg, Kari (1994). 2109:Bulgarian National Bank 2059:Monetary Macroeconomics 1543:Since 19 February 2013 1481:Effective 1 April 1994 420:Effects on money supply 410:global financial crisis 216:Global financial system 2915:Business and economics 2471:Central bank of Russia 2287:The Bank of Israel Law 2192:Pengepolitik i Danmark 2171:Croatian National Bank 1856:Jagdish Handa (2008). 1597:Capital adequacy ratio 1413:As of 24 May 2015 for 1374:Since 1 November 2008 931:Federal Reserve System 777:People's Bank of China 772: 723: 692: 662: 628: 520: 485: 211:Money service business 158:Securities commissions 2863:List of central banks 2795:Sovereign wealth fund 2790:Open market operation 2366:Reserve Bank Bulletin 2224:European Central Bank 1931:(4). JSTOR: 493–506. 1129:Since 7 October 2009 957:, 3% for banks up to 789:Reserve Bank of India 770: 737:Endogenous money view 724: 693: 663: 661:{\displaystyle M_{1}} 629: 521: 519:{\displaystyle M_{1}} 486: 414:government guarantees 406:lender of last resort 221:Financial integration 2068:University of Zurich 1622:Full-reserve banking 1612:Financial repression 1400:Since 31 March 2022 805:capital requirements 710: 679: 672:where notationally, 645: 534: 503: 448: 318:Reserve requirements 67:Capital requirements 56:Types of regulations 48:Financial regulation 2951:Capital requirement 2946:Financial economics 2739:Capital requirement 2226:. 14 December 2016. 2128:www.bankofcanada.ca 1592:Capital requirement 1530:As of 24 July 2024 1523:Trinidad and Tobago 1387:Since 30 June 2023 982:Country or district 330:deposit liabilities 147:Regulatory agencies 110:Accounting scandals 92:Reserve requirement 2526:on 8 December 2015 2033:federalreserve.gov 1858:Monetary Economics 1783:. Bank of England. 869:reserves averaging 835:Regulation D (FRB) 773: 722:{\displaystyle R=} 719: 691:{\displaystyle c=} 688: 658: 624: 516: 481: 359:monetary authority 334:cash reserve ratio 120:Know your customer 41:financial services 2896: 2895: 2350:on 25 March 2019. 2343:Nepal Rastra Bank 2205:978-87-87251-70-9 1874:. Bank of England 1627:Great Contraction 1572: 1571: 985:Reserve ratio (%) 919:The United States 758:Required reserves 622: 613: 601: 579: 315: 314: 257:Corporate finance 16:(Redirected from 2958: 2941:Financial ratios 2913: 2912: 2904: 2820:World Bank Group 2692: 2685: 2678: 2669: 2668: 2629: 2628: 2626: 2624: 2610: 2604: 2603: 2601: 2599: 2590: 2582: 2576: 2575: 2573: 2571: 2562: 2554: 2548: 2542: 2536: 2535: 2533: 2531: 2525: 2514: 2505: 2499: 2498: 2496: 2494: 2480: 2474: 2468: 2462: 2461: 2450: 2444: 2443: 2432: 2426: 2425: 2423: 2421: 2410: 2402: 2396: 2395: 2389: 2380: 2374: 2373: 2358: 2352: 2351: 2346:. Archived from 2334: 2328: 2327: 2320: 2314: 2313: 2311: 2309: 2295: 2289: 2284: 2278: 2277: 2275: 2273: 2267:www.ceicdata.com 2259: 2253: 2252: 2250: 2248: 2234: 2228: 2227: 2216: 2210: 2209: 2197: 2187: 2178: 2164: 2158: 2157: 2145: 2139: 2138: 2136: 2134: 2119: 2113: 2112: 2106: 2098: 2092: 2091: 2085: 2081:"Circular 3.632" 2077: 2071: 2054: 2048: 2043: 2037: 2036: 2025: 2019: 2018: 2007: 2001: 1998: 1992: 1991: 1989: 1987: 1973: 1967: 1966: 1955: 1949: 1948: 1920: 1914: 1913: 1905: 1899: 1893: 1884: 1883: 1881: 1879: 1868: 1862: 1861: 1853: 1838: 1837: 1835: 1833: 1819: 1810: 1809: 1803: 1794: 1785: 1784: 1782: 1773: 1767: 1766: 1758: 1752: 1751: 1739: 1733: 1732: 1727: 1725: 1701: 1695: 1694: 1683: 979: 978: 960: 956: 935:commercial banks 743:endogenous money 728: 726: 725: 720: 697: 695: 694: 689: 667: 665: 664: 659: 657: 656: 636:money multiplier 633: 631: 630: 625: 623: 621: 614: 606: 603: 602: 594: 585: 580: 578: 561: 544: 525: 523: 522: 517: 515: 514: 490: 488: 487: 482: 473: 472: 460: 459: 435:money multiplier 374:Policy objective 336:or shortened as 307: 300: 293: 262:Personal finance 242:Financial market 201:Offshore banking 190:Regulatory terms 130:Securities fraud 72:Bank regulations 62:Money Laundering 32: 31: 21: 2966: 2965: 2961: 2960: 2959: 2957: 2956: 2955: 2936:Monetary policy 2921: 2920: 2919: 2907: 2899: 2897: 2892: 2851: 2806: 2799: 2770:Capital control 2758: 2727: 2701: 2696: 2637: 2632: 2622: 2620: 2612: 2611: 2607: 2597: 2595: 2593:printery.gov.tt 2588: 2584: 2583: 2579: 2569: 2567: 2560: 2556: 2555: 2551: 2543: 2539: 2529: 2527: 2523: 2512: 2506: 2502: 2492: 2490: 2482: 2481: 2477: 2469: 2465: 2452: 2451: 2447: 2434: 2433: 2429: 2419: 2417: 2408: 2404: 2403: 2399: 2387: 2381: 2377: 2360: 2359: 2355: 2336: 2335: 2331: 2322: 2321: 2317: 2307: 2305: 2297: 2296: 2292: 2285: 2281: 2271: 2269: 2261: 2260: 2256: 2246: 2244: 2236: 2235: 2231: 2218: 2217: 2213: 2206: 2195: 2189: 2188: 2181: 2165: 2161: 2146: 2142: 2132: 2130: 2120: 2116: 2104: 2100: 2099: 2095: 2083: 2079: 2078: 2074: 2055: 2051: 2044: 2040: 2027: 2026: 2022: 2009: 2008: 2004: 1999: 1995: 1985: 1983: 1975: 1974: 1970: 1963:Banking Law 101 1957: 1956: 1952: 1937:10.2307/1992444 1921: 1917: 1906: 1902: 1894: 1887: 1877: 1875: 1870: 1869: 1865: 1854: 1841: 1831: 1829: 1821: 1820: 1813: 1801: 1795: 1788: 1780: 1774: 1770: 1759: 1755: 1740: 1736: 1723: 1721: 1719: 1702: 1698: 1693:on 7 July 2001. 1685: 1684: 1680: 1676: 1671: 1632:Islamic banking 1607:Excess reserves 1582:Bank regulation 1577: 1261: 1256:Just after the 974: 959:$ 122.3 million 958: 954: 904: 893: 885: 858:Bank of England 843: 798: 785: 765: 760: 739: 711: 708: 707: 700:demand deposits 680: 677: 676: 652: 648: 646: 643: 642: 605: 604: 593: 586: 584: 562: 545: 543: 535: 532: 531: 510: 506: 504: 501: 500: 465: 464: 455: 451: 449: 446: 445: 427: 422: 376: 363:monetary policy 351:excess reserves 311: 282: 281: 239: 231: 230: 191: 183: 182: 148: 140: 139: 135:Too big to fail 105: 97: 96: 87:Fund governance 57: 28: 23: 22: 15: 12: 11: 5: 2964: 2954: 2953: 2948: 2943: 2938: 2933: 2918: 2917: 2894: 2893: 2891: 2890: 2885: 2880: 2875: 2870: 2865: 2859: 2857: 2853: 2852: 2850: 2849: 2848: 2847: 2842: 2837: 2832: 2827: 2817: 2811: 2809: 2801: 2800: 2798: 2797: 2792: 2787: 2785:Money creation 2782: 2780:Interest rates 2777: 2772: 2766: 2764: 2763:Implementation 2760: 2759: 2757: 2756: 2751: 2746: 2741: 2735: 2733: 2729: 2728: 2726: 2725: 2720: 2715: 2709: 2707: 2703: 2702: 2695: 2694: 2687: 2680: 2672: 2666: 2665: 2660: 2655: 2650: 2644: 2636: 2635:External links 2633: 2631: 2630: 2605: 2577: 2549: 2537: 2500: 2475: 2463: 2445: 2427: 2397: 2375: 2353: 2329: 2315: 2303:Bank of Latvia 2290: 2279: 2254: 2229: 2211: 2204: 2179: 2159: 2140: 2114: 2093: 2072: 2049: 2038: 2020: 2002: 1993: 1968: 1950: 1915: 1900: 1885: 1863: 1839: 1811: 1786: 1768: 1763:Macroeconomics 1753: 1748:Macroeconomics 1746:(2005). "14". 1742:Abel, Andrew; 1734: 1717: 1696: 1677: 1675: 1672: 1670: 1669: 1667:Tier 2 capital 1664: 1662:Tier 1 capital 1659: 1654: 1649: 1644: 1642:Money creation 1639: 1634: 1629: 1624: 1619: 1614: 1609: 1604: 1599: 1594: 1589: 1584: 1578: 1576: 1573: 1570: 1569: 1567: 1564: 1558: 1557: 1554: 1551: 1545: 1544: 1541: 1538: 1532: 1531: 1528: 1525: 1519: 1518: 1516: 1513: 1507: 1506: 1504: 1501: 1495: 1494: 1492: 1489: 1483: 1482: 1479: 1476: 1470: 1469: 1466: 1463: 1457: 1456: 1453: 1450: 1444: 1443: 1441: 1438: 1432: 1431: 1428: 1425: 1419: 1418: 1411: 1408: 1402: 1401: 1398: 1395: 1389: 1388: 1385: 1382: 1376: 1375: 1372: 1369: 1363: 1362: 1360: 1357: 1351: 1350: 1347: 1344: 1338: 1337: 1334: 1331: 1325: 1324: 1321: 1318: 1312: 1311: 1309: 1306: 1300: 1299: 1297: 1294: 1288: 1287: 1285: 1282: 1276: 1275: 1273: 1270: 1264: 1263: 1254: 1251: 1245: 1244: 1242: 1239: 1233: 1232: 1229: 1226: 1220: 1219: 1216:6 April 2023, 1214: 1211: 1205: 1204: 1202: 1199: 1193: 1192: 1189: 1186: 1180: 1179: 1177: 1174: 1168: 1167: 1165: 1162: 1156: 1155: 1152: 1149: 1143: 1142: 1140: 1137: 1131: 1130: 1127: 1124: 1122:Czech Republic 1118: 1117: 1114: 1111: 1105: 1104: 1102: 1099: 1093: 1092: 1089: 1086: 1080: 1079: 1077: 1074: 1068: 1067: 1064: 1061: 1055: 1054: 1052: 1049: 1043: 1042: 1038: 1035: 1029: 1028: 1025: 1022: 1016: 1015: 1012: 1009: 1003: 1002: 999: 996: 990: 989: 986: 983: 973: 970: 903: 900: 892: 889: 884: 881: 851:clearing banks 847:United Kingdom 842: 841:United Kingdom 839: 797: 794: 784: 781: 764: 761: 759: 756: 738: 735: 731: 730: 718: 715: 704: 703: 687: 684: 670: 669: 655: 651: 620: 617: 612: 609: 600: 597: 592: 589: 583: 577: 574: 571: 568: 565: 560: 557: 554: 551: 548: 542: 539: 528: 527: 513: 509: 479: 476: 471: 468: 463: 458: 454: 426: 423: 421: 418: 375: 372: 313: 312: 310: 309: 302: 295: 287: 284: 283: 280: 279: 274: 269: 267:Public finance 264: 259: 254: 240: 238:Related topics 237: 236: 233: 232: 229: 228: 223: 218: 213: 208: 203: 198: 192: 189: 188: 185: 184: 181: 180: 175: 170: 165: 160: 155: 149: 146: 145: 142: 141: 138: 137: 132: 127: 122: 117: 112: 106: 103: 102: 99: 98: 95: 94: 89: 84: 79: 74: 69: 64: 58: 55: 54: 51: 50: 44: 43: 26: 9: 6: 4: 3: 2: 2963: 2952: 2949: 2947: 2944: 2942: 2939: 2937: 2934: 2932: 2929: 2928: 2926: 2916: 2911: 2906: 2905: 2902: 2889: 2886: 2884: 2881: 2879: 2876: 2874: 2871: 2869: 2866: 2864: 2861: 2860: 2858: 2854: 2846: 2843: 2841: 2838: 2836: 2833: 2831: 2828: 2826: 2823: 2822: 2821: 2818: 2816: 2813: 2812: 2810: 2808: 2805:Bretton Woods 2802: 2796: 2793: 2791: 2788: 2786: 2783: 2781: 2778: 2776: 2775:Discount rate 2773: 2771: 2768: 2767: 2765: 2761: 2755: 2754:Basel Accords 2752: 2750: 2747: 2745: 2742: 2740: 2737: 2736: 2734: 2730: 2724: 2721: 2719: 2716: 2714: 2711: 2710: 2708: 2704: 2700: 2699:Central banks 2693: 2688: 2686: 2681: 2679: 2674: 2673: 2670: 2664: 2661: 2659: 2656: 2654: 2651: 2648: 2645: 2642: 2639: 2638: 2619: 2615: 2609: 2594: 2587: 2581: 2566: 2559: 2553: 2546: 2541: 2522: 2518: 2511: 2504: 2489: 2485: 2479: 2472: 2467: 2459: 2455: 2449: 2441: 2437: 2431: 2416: 2415: 2407: 2401: 2393: 2386: 2379: 2372:. April 1985. 2371: 2367: 2363: 2357: 2349: 2345: 2344: 2339: 2333: 2325: 2319: 2304: 2300: 2294: 2288: 2283: 2268: 2264: 2258: 2243: 2239: 2233: 2225: 2221: 2215: 2207: 2201: 2194: 2193: 2186: 2184: 2176: 2172: 2168: 2163: 2155: 2151: 2144: 2129: 2125: 2118: 2110: 2103: 2097: 2089: 2082: 2076: 2069: 2065: 2061: 2060: 2053: 2047: 2042: 2034: 2030: 2024: 2016: 2012: 2006: 1997: 1982: 1978: 1972: 1964: 1960: 1954: 1946: 1942: 1938: 1934: 1930: 1926: 1919: 1911: 1904: 1898: 1892: 1890: 1873: 1867: 1859: 1852: 1850: 1848: 1846: 1844: 1828: 1824: 1818: 1816: 1807: 1800: 1793: 1791: 1779: 1772: 1764: 1757: 1749: 1745: 1744:Bernanke, Ben 1738: 1731: 1720: 1718:9780070587991 1714: 1710: 1709: 1700: 1692: 1688: 1682: 1678: 1668: 1665: 1663: 1660: 1658: 1655: 1653: 1650: 1648: 1645: 1643: 1640: 1638: 1635: 1633: 1630: 1628: 1625: 1623: 1620: 1618: 1615: 1613: 1610: 1608: 1605: 1603: 1600: 1598: 1595: 1593: 1590: 1588: 1587:Basel accords 1585: 1583: 1580: 1579: 1565: 1563: 1560: 1552: 1550: 1549:United States 1547: 1539: 1537: 1534: 1526: 1524: 1521: 1514: 1512: 1509: 1502: 1500: 1497: 1490: 1488: 1485: 1477: 1475: 1472: 1464: 1462: 1459: 1451: 1449: 1446: 1439: 1437: 1434: 1426: 1424: 1421: 1416: 1409: 1407: 1404: 1396: 1394: 1391: 1383: 1381: 1378: 1370: 1368: 1365: 1358: 1356: 1353: 1345: 1343: 1340: 1332: 1330: 1327: 1319: 1317: 1314: 1307: 1305: 1302: 1295: 1293: 1290: 1283: 1281: 1278: 1271: 1269: 1266: 1259: 1252: 1250: 1247: 1240: 1238: 1235: 1227: 1225: 1222: 1218: 1212: 1210: 1207: 1200: 1198: 1195: 1187: 1185: 1182: 1175: 1173: 1170: 1163: 1161: 1158: 1150: 1148: 1145: 1138: 1136: 1133: 1125: 1123: 1120: 1112: 1110: 1107: 1100: 1098: 1095: 1087: 1085: 1082: 1075: 1073: 1070: 1062: 1060: 1057: 1050: 1048: 1045: 1036: 1034: 1031: 1023: 1021: 1018: 1010: 1008: 1005: 997: 995: 992: 987: 981: 977: 969: 967: 962: 952: 948: 944: 940: 936: 932: 928: 924: 920: 916: 914: 909: 902:United States 899: 897: 888: 880: 877: 872: 870: 864: 861: 859: 854: 852: 848: 838: 836: 832: 831:interest rate 826: 823: 821: 820:fiat currency 817: 816:gold standard 813: 808: 806: 801: 793: 790: 780: 778: 769: 755: 752: 746: 744: 734: 716: 713: 706: 705: 701: 685: 682: 675: 674: 673: 653: 649: 640: 637: 618: 615: 610: 607: 598: 595: 590: 587: 581: 572: 569: 566: 555: 552: 549: 540: 537: 530: 529: 511: 507: 498: 494: 477: 474: 461: 456: 452: 444: 443: 442: 440: 436: 431: 425:Textbook view 417: 415: 411: 407: 403: 399: 394: 388: 386: 381: 371: 368: 364: 361:as a tool in 360: 355: 353: 352: 347: 343: 339: 338:reserve ratio 335: 331: 327: 323: 319: 308: 303: 301: 296: 294: 289: 288: 286: 285: 278: 277:List of banks 275: 273: 270: 268: 265: 263: 260: 258: 255: 253: 252:Financial law 250: 249: 247: 243: 235: 234: 227: 224: 222: 219: 217: 214: 212: 209: 207: 204: 202: 199: 197: 194: 193: 187: 186: 179: 176: 174: 171: 169: 166: 164: 161: 159: 156: 154: 153:Central banks 151: 150: 144: 143: 136: 133: 131: 128: 126: 123: 121: 118: 116: 113: 111: 108: 107: 101: 100: 93: 90: 88: 85: 83: 80: 78: 77:Basel accords 75: 73: 70: 68: 65: 63: 60: 59: 53: 52: 49: 46: 45: 42: 38: 34: 33: 30: 19: 18:Reserve ratio 2621:. Retrieved 2617: 2608: 2596:. Retrieved 2592: 2580: 2568:. Retrieved 2564: 2552: 2540: 2528:. Retrieved 2521:the original 2516: 2503: 2491:. Retrieved 2478: 2466: 2457: 2448: 2439: 2430: 2418:. Retrieved 2412: 2400: 2391: 2378: 2365: 2356: 2348:the original 2341: 2332: 2318: 2306:. Retrieved 2302: 2293: 2282: 2270:. Retrieved 2266: 2257: 2245:. Retrieved 2241: 2232: 2223: 2214: 2191: 2162: 2153: 2143: 2131:. Retrieved 2127: 2117: 2108: 2096: 2087: 2075: 2057: 2052: 2041: 2032: 2023: 2015:www.ecfr.gov 2014: 2005: 1996: 1984:. Retrieved 1980: 1971: 1962: 1953: 1928: 1924: 1918: 1909: 1903: 1876:. Retrieved 1866: 1857: 1830:. Retrieved 1771: 1762: 1756: 1747: 1737: 1729: 1722:. Retrieved 1707: 1699: 1691:the original 1681: 1647:Money supply 1436:South Africa 975: 963: 955:$ 16 million 951:time deposit 947:credit union 943:savings bank 917: 905: 894: 886: 873: 868: 865: 862: 855: 844: 830: 827: 824: 811: 809: 802: 799: 786: 774: 747: 740: 732: 671: 638: 497:money supply 492: 439:money supply 432: 428: 389: 377: 367:money supply 356: 349: 337: 333: 322:central bank 317: 316: 246:participants 125:Ponzi scheme 91: 29: 2493:21 December 2064:Pinar Yesin 1487:Switzerland 1380:Philippines 1329:New Zealand 2925:Categories 2649:(May 2007) 2530:1 December 2458:www.bnr.ro 2392:cbn.gov.ng 2247:31 October 2242:www.mnb.hu 2133:8 November 2088:bcb.gov.br 1674:References 1511:Tajikistan 1258:Parex Bank 1097:Costa Rica 1007:Bangladesh 346:bank vault 178:World Bank 2272:9 January 1878:26 August 1832:13 August 1724:22 August 1703:Compare: 1448:Sri Lanka 1280:Lithuania 1172:Hong Kong 994:Australia 896:Australia 891:Australia 475:× 393:liquidity 206:Tax haven 2732:Policies 2308:4 August 2175:Croatian 2154:cnbc.com 1776:McLeay. 1575:See also 1461:Suriname 1367:Pakistan 1147:Eurozone 1033:Bulgaria 812:negative 398:bank run 385:bank run 115:Bank run 104:Concepts 37:a series 35:Part of 2931:Banking 2598:31 July 2570:31 July 2062:by Dr. 1945:1992444 1406:Romania 1342:Nigeria 1268:Lebanon 1197:Iceland 1184:Hungary 1135:Denmark 1109:Croatia 1047:Burundi 845:In the 272:Banking 244: ( 2901:Portal 2807:system 2706:Global 2440:nbp.pl 2420:18 May 2202:  1943:  1715:  1562:Zambia 1536:Turkey 1499:Taiwan 1474:Sweden 1423:Russia 1393:Poland 1355:Norway 1304:Mexico 1292:Malawi 1249:Latvia 1237:Jordan 1224:Israel 1059:Canada 1020:Brazil 988:Notes 945:, and 883:Canada 2856:Lists 2623:4 May 2589:(PDF) 2561:(PDF) 2524:(PDF) 2513:(PDF) 2409:(PDF) 2388:(PDF) 2196:(PDF) 2105:(PDF) 2084:(PDF) 1986:4 May 1941:JSTOR 1802:(PDF) 1781:(PDF) 1527:10.00 1515:20.00 1465:25.00 1346:45.00 1336:1985 1316:Nepal 1308:10.50 1296:15.00 1272:30.00 1209:India 1188:10.00 1160:Ghana 1101:15.00 1088:17.00 1084:China 1072:Chile 1037:10.00 1024:21.00 783:India 763:China 702:; and 2625:2022 2600:2024 2572:2024 2532:2015 2495:2009 2422:2024 2310:2022 2274:2018 2249:2023 2200:ISBN 2173:(in 2135:2023 1988:2022 1880:2013 1834:2009 1726:2020 1713:ISBN 1566:8.00 1553:Zero 1540:8.50 1503:7.00 1491:2.50 1478:Zero 1452:8.00 1440:2.50 1427:4.00 1410:8.00 1397:3.50 1384:9.50 1371:5.00 1359:Zero 1333:Zero 1320:6.00 1284:6.00 1253:3.00 1241:8.00 1228:6.00 1213:4.50 1201:2.00 1176:Zero 1164:9.00 1151:1.00 1139:Zero 1126:2.00 1113:9.00 1076:4.50 1063:Zero 1051:8.50 1011:6.00 998:Zero 856:The 787:The 775:The 342:cash 320:are 1933:doi 1415:lei 837:.) 39:on 2927:: 2616:. 2591:. 2563:. 2515:. 2486:. 2456:. 2438:. 2411:. 2390:. 2364:. 2340:. 2301:. 2265:. 2240:. 2222:. 2182:^ 2169:, 2152:. 2126:. 2107:. 2086:. 2066:, 2031:. 2013:. 1979:. 1961:. 1939:. 1929:17 1927:. 1888:^ 1842:^ 1825:. 1814:^ 1804:. 1789:^ 1728:. 1066:, 968:. 966:M1 941:, 871:. 822:. 745:. 499:, 493:MB 416:. 354:. 248:) 2903:: 2691:e 2684:t 2677:v 2627:. 2602:. 2574:. 2534:. 2497:. 2460:. 2442:. 2424:. 2394:. 2312:. 2276:. 2251:. 2208:. 2177:) 2156:. 2137:. 2111:. 2090:. 2035:. 2017:. 1990:. 1965:. 1947:. 1935:: 1895:" 1882:. 1836:. 1808:. 717:= 714:R 686:= 683:c 654:1 650:M 639:m 619:R 616:+ 611:D 608:C 599:D 596:C 591:+ 588:1 582:= 576:) 573:R 570:+ 567:c 564:( 559:) 556:c 553:+ 550:1 547:( 541:= 538:m 526:, 512:1 508:M 478:m 470:B 467:M 462:= 457:1 453:M 306:e 299:t 292:v 20:)

Index

Reserve ratio
a series
financial services
Financial regulation
Money Laundering
Capital requirements
Bank regulations
Basel accords
International Financial Reporting Standards
Fund governance
Reserve requirement
Accounting scandals
Bank run
Know your customer
Ponzi scheme
Securities fraud
Too big to fail
Central banks
Securities commissions
List of financial regulatory authorities by country
Financial Action Task Force on Money Laundering
Bank for International Settlements
World Bank
Fractional reserve banking
Offshore banking
Tax haven
Money service business
Global financial system
Financial integration
Systemically important financial institution

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