MONEY, BANKING & FINANCIAL INSTITUTION

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Across
  1. 4. The central bank buys securities from the public, paying them with cheques resulting in an ________ of credit creation and money supply leading to the fall of interest rate.
  2. 8. Credit creation is the process where a small given deposit will lead to a greater increase in the ________ of the
  3. 11. The _________ is the rate of interest which a central bank charges on the loans and advances to a
  4. 12. The authorities reduce the required
  5. 13. during __________.
  6. 14. ___________ monetary policy aims to increase money supply and control unemployment during recession.
  7. 15. The most liquid assets since they can be used as payments and settlements of debts directly without any conversion.
Down
  1. 1. ratio to encourage an expansion in lending and
  2. 2. bank.
  3. 3. Able to keep for a long period of time and withstand the wear and tear of many people using it.
  4. 5. Any commodity that is generally acceptable as a payment for goods and services.
  5. 6. Must be widely accepted as a medium of
  6. 7. _________ monetary policy aims to decrease money supply and control inflation.
  7. 9. Money is held as a __________ against some unforeseen events.
  8. 10. M2 plus savings, fixed deposits in other financial institutions, merchant banks and discount houses.