Key Termsmoney reservesmedium of exchange fractional-reserve bankingunit of account reserve ratiostore of value money multiplierliquidity bank capitalcommodity money leverageﬁat money leverage ratiocurrency capital requirementdemand deposits open-market operationscentral bank discount ratemoney supply reserve requirementsmonetary policy
Demand DepositsBank account that youcan access by writing acheck or using a debit card
Saudi Arabia Monetary Agency The Central Bank of Saudi Arabia SAMA sama.gov.sa
Central BankThe bank that overseesthe banking system and regulates the money supply in a country
Dr. Fahad Al MubarakChairman of the Board GovernorSaudi Arabia Monetary Agency SAMA
Six Functions• Issues national currency, the Saudi Riyal.• Acts as a banker to the government. • Supervises commercial banks.• Manages Kingdom’s foreign exchange reserves.• Conducts monetary policy for promoting price and exchange rate stability.• Promotes the growth and ensures the soundness of the ﬁnancial system.