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(ECONOMICS) a financial institution that issues the national currency and administers monetary policy. For the USA, the central bank is the Federal Reserve System. In a few cases, the central bank is private, and otherwise similar to a regular commercial bank. In other cases, it is directly controlled by the head of government. In most cases, however, it is a government agency that is shielded from direct control. OTHER IMPORTANT CENTRAL BANKS European Union--European Central Bank (ECB). Japan--Bank of Japan China--People's Bank of China United Kingdom--Bank of England See also the International Monetary Fund and the Bank for International Settlements.
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