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Explain clearly four differences between a Central Bank and a Commercial Bank.

Answer»

Difference between Central Bank and Commercial Bank :

Basis for ComparisonCentral BankCommercial Bank
MeaningThe bank which looks after the monetary system of the country is known as Central Bank The establishment, which provides banking services to the public is known as Commercial Bank.
Governing StatuteReserve Bank of India Act, 1934.Banking Regulation Act, 1949.
OwnershipPublicPublic or Private
Deals withGeneral PublicBanks and Governments.



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