Commercial Bank Reserves
/ˌkɒmɜːrʃəl bæŋk rɪˈzɜrvz/
Definitions
- (n.) The reserves—funds held by commercial banks in their accounts at the central bank or as vault cash—used to satisfy reserve requirements and manage liquidity.
Commercial bank reserves are critical for ensuring banks can meet withdrawal demands and regulatory requirements.
Forms
- commercial bank reserves
Related terms
See also
Commentary
In legal and regulatory contexts, commercial bank reserves are foundational to understanding banking liquidity, reserve requirements, and monetary policy compliance.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.