GCECommerceBanking and Finance2023

Which of the following best describes a central bank?

AA bank that accepts deposits from the general public and grants loans to individuals
BA government-owned bank that regulates the banking system and controls monetary policyCORRECT
CA bank that specializes in financing long-term industrial projects
DA financial institution that provides mortgage loans to house buyers
AI
Toaster Teacher
Why the answer is B, and why the others tempt you.
A central bank, such as the Central Bank of Nigeria (CBN), is a government-owned institution responsible for regulating the banking system, controlling monetary policy, issuing currency, and acting as a lender of last resort. It does not deal directly with the general public in the way commercial banks do.
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