Which of the following is not a tool of the RBA?
A) Reserve requirements.
B) Open market operations.
C) Lending to banks.
D) Foreign currency swaps.
E) Both B and D.

Question

Quizplus · Accepted Answer

Reserve requirements are a tool used by some central banks to control the money supply, but they are not utilized by the Reserve Bank of Australia (RBA). The RBA uses other monetary policy tools such as open market operations, lending to banks, and foreign currency swaps to achieve its objectives.

Which of the Following Is Not a Tool of the RBA