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Central bank is established to control & regulate the monetary & credit
system in the country.
Most richer countries today have an "independent" central bank, that is,
one which operates under rules designed to prevent political
interference. Examples include the European Central Bank (ECB) and
the Federal Reserve System in the United States. Some central banks are
publicly owned, and others are privately owned. For example, the United
States Federal Reserve is a quasi-public corporation.
Activities and responsibilities:
Functions of a central bank (not all functions are carried out by all
banks):