day 10 - banking\nb. what is “reserve money”?
day 10 - banking\nb. what is “reserve money”?
Answer
Brief Explanations:
Reserve money is the portion of a bank's deposits that it must hold in reserve, either as cash in - hand or as deposits with the central bank. It serves to ensure the bank can meet withdrawal demands and is a key part of monetary policy implementation.
Answer:
Reserve money is the funds that banks keep in reserve, either as physical cash or as deposits with the central bank, to meet withdrawal requests and for regulatory and stability purposes.