Organisation of the european system of central banks (escb)

The ESCB is composed of the European Central Bank (ECB) and the national central banks (NCBs) of the European union 1)_____ states.

In accordance with the ESCB Statute, the primary 2)_____ of the ESCB is to maintain 3)_____ stability.

The basic tasks to be carried out by the ESCB are:

• To define and implement the monetary 4)_____ of the EU;

• To conduct foreign exchange 5)_____operations;

• To hold and manage the official foreign 6)_____ of the Member States

• To promote and smooth operation of payment 7)_____.

In addition, the ESCB contributes to smooth conduct of policies relating to supervision of credit 8)_____ and the stability of the financial system. It also has an advisory 9)_____ on matters which fall within its field of competence. Finally, in order to undertake the tasks of ESCB, the ECB shall collect the necessary statistical 19)_____.

Exercise 11. Read the text below. Choose the best word to fill each gap from A, B, C or D below. There is an example at the beginning. 0).

BANKS

Bank is an 0)__B__ that deals with money and its substitutes and provides other 1)_____ services. Banks accept deposits and make loans and derive a 2)_____ from the difference in the interest 3)_____ paid and charged respectively. The primary function of banks is to put their 4)_____ holder’s money to use by lending it out to others who can then use it to buy homes, businesses, send children to college.

Banking ia all about trust. We trust the bank will have our money for us when we go to get it. We trust that it will honour the 5)_____ we write to pay our bills.

Banks are just like other businesses. Their 6)_____ just happen to be the money. Other businesses sell widgets or services, banks sell money – in the form of 7)_____, certificates of deposit (CDs) and other financial products. The checking account is one of the most common financial product. It is convenient because it lets you buy things without having to worry about carrying the 8)_____ – or using a credit card. Banks also offer money market accounts, not to mention traditional 9)_____ accounts that a lot of population have. Some also allow you to set up 10)_____retirement accounts (IRAs) or education savings accounts.

0 A department B institution C establishment D office

1. A capital B financial C money D community

2. A benefit B capital C gain D profit

3. A percents B rates C accounts D sums

4. A deposit B investment C account D contribution

5. A drafts B receipts C cheques D credit cards

6. A product B service C deals D wares

7. A loans B cheques C rates D money

8. A coins B notes C cash D currency

9. A joint B correspondent C balance D savings

10. A investment B individual C income D interest