I just came from TheCitizen site and there’s one topic that really caught my attention. The topic is about central bank and if you have time to continue your surfing, you also can read this great article.

Anyway, here is some of the important part that I quote from the article:

So, what is a central bank?
A central bank is an institution that produces the currency of an entire nation. Based on historical precedent, two specific powers are inherent in central banking practice: the control of interest rates, and the control of the money supply or inflation.

The central bank does not simply supply the government’s economy with money. It “loans” it to them, at interest, then through the use of increasing and decreasing the supply of money, the central bank regulates the value of the currency being issued.

It is critical to understand, that the entire structure of this system can only produce one thing in the long run: Debt!

What is your own definition for central bank?
Don’t mind to share?