Role of State Bank of Pakistan In Economic Development Of The Country
Introduction: The first central bank was established in Geneva in 1578. After the World War I, a conference was held in Brussels in 1920 and it was decided that every country must set up its central bank. WHAT IS CENTRAL BANK? “Central bank is a special institution whose customers are commercial banks and state.” According to R. P. Kent: “An institution that is charged with the responsibility of managing the expansion and contraction of the volume of money in the interest of the general public welfare.” State Bank of Pakistan: Central bank of Pakistan is the “State Bank of Pakistan”. State bank of Pakistan was established on 1st July 1948. Quaid-i-Azam Muhammad Ali Jinnah performed its opening ceremony. Now, it is working under the State Bank of Pakistan Act 1956. WHAT IS ECONOMIC DEVELOPMENT? Definition: “It refers to the process whereby the total supply of goods and services of the society increases leading towards improved living standards.”