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Reserve Requirement
The minimum amount of reserves a bank must hold against deposits, as mandated by central banking authorities to ensure banking system stability.
Tight Monetary Policy
A central bank policy aimed at reducing inflation and slowing down the growth in the money supply by raising interest rates and other measures.
Required Reserve Ratio
The fraction of deposits that banks are required by law to keep on hand as reserves or with the central bank.
Discount Rate
The interest rate charged by central banks to commercial banks for loans.
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