Why do central banks play an important role in the international banking system?

1 answer:

4 0

Central banks play an important role in the international banking system because they control a country's foreign exchange reserves and set its monetary policies.
Banks are some of the most important institutions in any country. They are responsible for all the money that a country and its people have, which is why obviously their role is crucial when it comes to the banking system inside a country and out of it.

You might be interested in

What is a standard of living?

mezya [45]

Answer:

The degree of wealth and material comfort available to a person or community.

Explanation:

How nice the way they live their life is

7 0

3 years ago

Which example involves a real-world restriction that can affect your decision making process?

gladu [14]

I'm guessing "interest in a subject as a child"

3 0

3 years ago

Money market mutual funds

katen-ka-za [31]

Answer:

c. carry no loads.

Explanation:

They are also called as the mutual funds and are open-ended mutual fund investments in short debit security as the U.S treaty bills and the commercial papers.

They are made with the goal of maintaining high stable assets values by liquid investments.

Regulated by the investments company act of the U.S of 1940, are important providers of the liquidity to the financial institutions.

<u>These funds seek to limit the exposure of the losses due to the credit, market, and liquidity risks.</u>

8 0

3 years ago

With a best-effort underwriting the compensation is based on:

scZoUnD [109]

Answer:

d. all of these.

Explanation:

Best-effort underwriting refers to the selling of shares or securities with best efforts involved. Generally it aims at maximum selling, the price is not in consideration, the number of shares sold is what matters.

Investment banks or underwriters do not care much about selling price as their commission is flat and fixed, irrespective of total revenue from sales.

Also there is no guarantee or agreement to sell specified number of securities, rather there is a promise to make best efforts for maximum sale.

5 0

3 years ago

On April 1 of the current year, Morgan Jones established a business to manage rental property. She completed the following trans

Vladimir79 [104]

Ayuda como cambio de idioma a la aplicación sin que me tenga que cambiar de cuenta

7 0

3 years ago