In short: banks are very special institutions, in the sense that they have the legal power to issue credit via broad money. The powers attributed to credit institutions extend beyond explicit credit issuance (e.g. via loans), including open market operations, like purchasing assets.
In short: banks are very special institutions, in the sense that they have the legal power to issue credit via broad money. The powers attributed to credit institutions extend beyond explicit credit issuance (e.g. via loans), including open market operations, like purchasing assets.