Money creationMoney creation, or money issuance, is the process by which the money supply of a country, or of an economic or monetary region, is increased. In most modern economies, money creation is controlled by the central banks. Money issued by central banks is termed base money. Central banks can increase the quantity of base money directly, by engaging in open market operations. However, the majority of the money supply is created by the commercial banking system in the form of bank deposits.
Indian rupeeThe Indian rupee (symbol ₹; code: INR) is the official currency in the Republic of India. The rupee is subdivided into 100 paise (Hindi pl; singular: paisa). The issuance of the currency is controlled by the Reserve Bank of India. The Reserve Bank manages currency in India and derives its role in currency management on the basis of the Reserve Bank of India Act, 1934. Pāṇini (6th to 4th century BCE) mentions ISO (रूप्य).
Open market operationIn macroeconomics, an open market operation (OMO) is an activity by a central bank to give (or take) liquidity in its currency to (or from) a bank or a group of banks. The central bank can either buy or sell government bonds (or other financial assets) in the open market (this is where the name was historically derived from) or, in what is now mostly the preferred solution, enter into a repo or secured lending transaction with a commercial bank: the central bank gives the money as a deposit for a defined period and synchronously takes an eligible asset as collateral.
Monetary policyMonetary policy is the policy adopted by the monetary authority of a nation to affect monetary and other financial conditions to accomplish broader objectives like high employment and price stability (normally interpreted as a low and stable rate of inflation). Further purposes of a monetary policy may be to contribute to economic stability or to maintain predictable exchange rates with other currencies.
SeigniorageSeigniorage ˈseɪnjərɪdʒ, also spelled seignorage or seigneurage (from the Old French seigneuriage, "right of the lord (seigneur) to mint money"), is the difference between the value of money and the cost to produce and distribute it. The term can be applied in two ways: Seigniorage derived from specie (metal coins) is a tax added to the total cost of a coin (metal content and production costs) that a customer of the mint had to pay, and which was sent to the sovereign of the political region.
Currency basketA currency basket is a portfolio of selected currencies with different weightings. A currency basket is commonly used by investors to minimize the risk of currency fluctuations and also governments when setting the market value of a country’s currency. An example of a currency basket is the European Currency Unit that was used by the European Community member states as the unit of account before being replaced by the euro. Another example is the special drawing rights of the International Monetary Fund.
Singapore dollarThe Singapore dollar (sign: S;code:SGD)istheofficialcurrencyoftheRepublicofSingapore.Itisdividedinto100cents.Itisnormallyabbreviatedwiththedollarsign, or S$ to distinguish it from other dollar-denominated currencies. The Monetary Authority of Singapore (MAS) issues the banknotes and coins of the Singapore dollar. As of 2022, the Singapore dollar is the 10th most-traded currency in the world by value. New Zealand dollarThe New Zealand dollar (tāra o Aotearoa; sign: ;code:NZD)istheofficialcurrencyandlegaltenderofNewZealand,theCookIslands,Niue,theRossDependency,Tokelau,andaBritishterritory,thePitcairnIslands.WithinNewZealand,itisalmostalwaysabbreviatedwiththedollarsign(). The abbreviations "NZ"or"NZ" are sometimes used (outside New Zealand) when necessary to distinguish it from other dollar-denominated currencies. Introduced in 1967, the dollar is subdivided into 100 cents. 