Methods used by central bank to increase money supply

atika school signature 44

Methods used by central bank to increase money supply

  1. Reducing bank rates
  2. Reducing liquidity ratio
  3. Buying government securities
  4. Reductions on compulsory deposits
  5. Opening credit to all sectors in the economy
  6. Directives to increase credit lending
  7. Moral persuasions to banks to increase credit lending

atika school signature 44

Print Friendly, PDF & Email
people found this article helpful. What about you?

0 0 votes
Article Rating
Subscribe
Notify of
0 Comments
Inline Feedbacks
View all comments
0
Would love your thoughts, please comment.x
()
x