Responsibilities of Central Bank
CBRT’s current powers and duties are defined by a specific law (CBRT law) accepted on 14 January 1970.
The Law on the Central Bank of the Republic of Turkey, No. 1715 was enacted on 11 June 1930. According to the Law No. 1715, the basic aim of the Bank was to support economic development of the country. In order to fulfill this aim, the Bank was given the following duties:
- To set rediscount ratios and to regulate money markets,
- To execute Treasury operations,
- To take, jointly with the Government, all measures to protect the value of Turkish currency.
With the introduction of economic development plans in Turkey in the 1960s, several changes were made in the Central Bank Law. For the same purpose, the Law No. 1211, which was enacted on 26 January 1970, redefined the duties and responsibilities of the Central Bank of the Republic of Turkey, so as to implement the money and credit policy within the framework of development plans.
In the second half of the 1980s, the Bank inaugurated interbank money market, foreign exchange money market and started to make use of open market operations.
Read more about this topic: Central Bank Of The Turkey
Famous quotes containing the words central and/or bank:
“The Federal Constitution has stood the test of more than a hundred years in supplying the powers that have been needed to make the Central Government as strong as it ought to be, and with this movement toward uniform legislation and agreements between the States I do not see why the Constitution may not serve our people always.”
—William Howard Taft (1857–1930)
“People get a bad impression of it by continually trying to treat it as if it was a bank clerk, who ought to be on time on Tuesday next, instead of philosophically seeing it as a painter, who may do anything so long as you don’t try to predict what.”
—Katharine Whitehorn (b. 1926)