Monetary reserve

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Monetary Reserve

The foreign currencies and precious metals that a central bank holds. A central bank's monetary reserve allows it to regulate its own currency; that is, a central bank with a large amount of reserves in euros is likely to closely follow or even peg its currency to the euro. On the other hand, central banks that keep monetary reserves in multiple currencies are more likely to follow either a basket peg or to have a floating currency. A monetary reserve is also called a currency reserve.

Monetary reserve.

A government's monetary reserve includes the foreign currency and precious metals that its central bank holds. That reserve enables the government to influence foreign exchange rates and to manage its transactions in the international marketplace.

For example, a country with a large reserve of US dollars is in a position to make significant investments in US markets.

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He added that the law on state budgets states that the finance of budgets comes out of monetary reserves, while the public debt law, whereby the Central Bank of Kuwait (CBK) is issuing bonds at present, allows borrowing from monetary reserves for offsetting budget deficit.
Moreover, the Sultanate has good monetary reserves with the banks and government bonds will be one of the ways to address the deficit of the budget.
Moreover, the Sultanate has good monetary reserves with the banks and the government bonds will be one of the ways to address deficit of the budget.
Though the country has been hit by falling oil revenues, Russia has huge monetary reserves to support banks and financial institutions, he said.
He said that this is resulting in an early consumption of roughly $50bn from the aid and monetary reserves.
Kuwait has been cutting back its national expenditures and forcing austerity measures, Saudi Arabia has huge monetary reserves that it?
However, such approach could not be sustained for long, especially in countries where monetary reserves are low.
Global Banking News-July 14, 2014--Libya expected to exhaust monetary reserves in five years
It also firmly reasserts the importance of gold as an asset in global monetary reserves .
He said the Kingdom's Gross Domestic Product was $727 billion and that its monetary reserves comes second to China, the economic growth amounted to 4.
Factors include the continuous erosion of the monetary reserves, the escalation of the budget deficit, the huge burdens of local and foreign debts, and the shrinking of the national sources of income as a result of setbacks in the flow of tourism as well as foreign investments in the country.
This accusation by the head of the executive branch raised concerns among economists, who fear that the prime minister may attempt to meddle in the policies of the central bank and seize control of the state's monetary reserves, as though they are at the disposal of the executive branch or part of the funds that the latter controls.