Keskuspankeilla

Keskuspankeilla refers to central banks. A central bank is a financial institution that manages a state's currency, money supply, and interest rates. Central banks typically conduct monetary policy to achieve macroeconomic stability, including controlling inflation and promoting economic growth. They also act as lenders of last resort to financial institutions during times of crisis.

The functions of a central bank can vary by country, but common responsibilities include issuing currency, setting reserve requirements for commercial banks, and supervising the banking system. Many central banks also manage foreign exchange reserves and play a role in international financial cooperation.

The European Central Bank (ECB) is the central bank for the euro, while the Federal Reserve is the central bank of the United States. These institutions are independent of political control, aiming to make decisions based on economic considerations rather than short-term political pressures. The establishment of central banks has been a significant development in modern economic history, contributing to greater stability and efficiency in financial markets. Their actions have a profound impact on the daily lives of citizens through their influence on inflation, employment, and the cost of borrowing.