HONGKONGDIR

HOMECompaniesDictionaryFAQs

Home » Dictionary » Economy » monetary base

Monetary Base

Definition
Usually, the currency and central bank deposits that together provide the base for the money supply under fractional reserve banking. Also defined as the central bank assets the acquisition of which creates this monetary base by injecting domestic money into the economy. The latter definition usually includes international reserves and domestic credit. By either definition, the monetary base changes as a result ofopen market operations and exchange market intervention.

Nearby Terms
Similar companies
Copyright © 2013 hongkongdir.com All Rights Reserved.
Provides public information about companies in the Hong Kong.