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- Central bank reserves are the minimum cash requirements that financial institutions must maintain12. These reserves are real paper money that banks keep either in a vault on-site or in their account at the central bank1. The Federal Reserve in the U.S. determines the reserve ratio, which historically ranges from zero to 10% of bank deposits2.Learn more:âś•This summary was generated using AI based on multiple online sources. To view the original source information, use the "Learn more" links.Bank reserves are the cash minimums that financial institutions must have on hand in order to meet central bank requirements. This is real paper money that must be kept by the bank in a vault on-site or held in its account at the central bank.www.investopedia.com/terms/b/bank-reserve.aspBank reserves are the minimum cash requirements that financial institutions must maintain to meet central bank regulations. The Federal Reserve in the U.S. determines the reserve ratio, historically ranging from zero to 10% of bank deposits.www.supermoney.com/encyclopedia/bank-reserves
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