Question

What is true about the commercial banks?

Options

• Commercial banks operate under the control of central bank.

• Commercial banks deal with the public.

• Commercial bank create credit.

• All of these

Answer 1

All of these

Explanation:

1. The central bank controls and supervises commercial banks, which determines monetary policy and operational norms.

2. Commercial banks serve the general public, accepting deposits and offering a variety of financial services to individuals, corporations, and organizations. 

3. Commercial banks produce credit via lending, which increases the economy's money supply.