The policy managed by the central bank to control money supply and interest rates is known as?
مرکزی بینک کی جانب سے زرِ رسد اور شرحِ سود کو کنٹرول کرنے والی پالیسی کو کیا کہتے ہیں؟
- Fiscal Policy
- Trade Policy
- Monetary Policy
- None of these
Explanation
- Monetary Policy is managed by the central bank to control the money supply and interest rates.
- Its main goals include controlling inflation, maintaining price stability, and supporting economic stability.
- Central banks use tools such as policy interest rates, reserve requirements, and open-market operations.
Additional information:
- Fiscal Policy is managed by the government through taxation and public spending.
- Trade Policy deals with imports, exports, tariffs, and international trade.
Last verified on 08-08-2026
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