AUTONOMY OF CENTRAL BANKS

732 WD

1.Central banking:

Functions:

-management of public debt of government (agent of government & no autonomy)

-Regulation & supervision of banking entities(Here the role is of lender)

-financing of development activities and other associated functions(in this close coordination with government)

2.central bank independence:

-Personal matters

In this case gov. Distances itself from appointment,dismissal procedures of top central bank officials and governing board

Extent and nature of representation of government in governing body of central bank