Central Bank Balances and Reserve Requirements

Central Bank Balances and Reserve Requirements
Author: Mr.Simon Gray
Publisher: International Monetary Fund
Total Pages: 57
Release: 2011-02-01
Genre: Business & Economics
ISBN: 1455217905

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Most central banks oblige depository institutions to hold minimum reserves against their liabilities, predominantly in the form of balances at the central bank. The role of these reserve requirements has evolved significantly over time. The overlay of changing purposes and practices has the result that it is not always fully clear what the current purpose of reserve requirements is, and this necessarily complicates thinking about how a reserve regime should be structured. This paper describes three main purposes for reserve requirements - prudential, monetary control and liquidity management - and suggests best practice for the structure of a reserves regime. Finally, the paper illustrates current practices using a 2010 IMF survey of 121 central banks.


Central Bank Balances and Reserve Requirements
Language: en
Pages: 57
Authors: Mr.Simon Gray
Categories: Business & Economics
Type: BOOK - Published: 2011-02-01 - Publisher: International Monetary Fund

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Most central banks oblige depository institutions to hold minimum reserves against their liabilities, predominantly in the form of balances at the central bank.
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Authors: International Monetary Fund
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Type: BOOK - Published: 1993-04-01 - Publisher: International Monetary Fund

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Reserve requirements are widely used by central banks as a means to improve monetary control, an instrument for policy implementation, a source of revenue, and
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Pages: 0
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Categories: Banks and Banking
Type: BOOK - Published: 2002 - Publisher:

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Provides an in-depth overview of the Federal Reserve System, including information about monetary policy and the economy, the Federal Reserve in the internation
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This book addresses the welfare gains and costs of accumulating foreign exchange reserves and the implications for the functioning of the global financial syste