What is money market ?
Money market:
Money market refers to mechanism where by on the hand barriers manage to obtain short term loan able fund and on the other, succeed in getting creditworthy barriers for their money. In any money market, commercial banks are the most important lender. These banks are however, not merely the lender of money; they also credit. the central bank's role is important as the controller of credit.
Money market instruments:
Money market is comprised of the following important instrument:
1.Call money market.
2.Treasury bills.
3.Commercial bill.
4.Commercial paper.
5.Certificate of deposit.
6.Repo market
7.Money market mutual fund.
Money market refers to mechanism where by on the hand barriers manage to obtain short term loan able fund and on the other, succeed in getting creditworthy barriers for their money. In any money market, commercial banks are the most important lender. These banks are however, not merely the lender of money; they also credit. the central bank's role is important as the controller of credit.
Money market instruments:
Money market is comprised of the following important instrument:
1.Call money market.
2.Treasury bills.
3.Commercial bill.
4.Commercial paper.
5.Certificate of deposit.
6.Repo market
7.Money market mutual fund.
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