Choose antonyms or synonyms for the words underlined.

1. The central banking system is a major sector of any modern monetary system.

a) antiquated b) contemporary

2. It is of great importance to the fiscal policy of the national government and the functioning of the private sector.

a) non-state b) state

3. In the course of market reforms in Ukraine the Central Bank has been pursuing moderately tight monetary policy aimed at further reduction of inflation and putting an end to direct budget deficit crediting.

a) increase b) restriction

4. The most important service of the Fed is check clearing, i.e. making sur e that checks written on one bank can be accepted at any other bank in the country.

a) guarantee b) inadequate safeguards

5. It also provides safekeeping for securities.

a) managed account b) simple documents

 

13. Single out the main points of the text. Use the following opening phrases:

The text looks at (the problem of…)

The text deals with the issue of..

It is clear from the text that…

Among other things the text raises the issue of…

The problem of…is of great importance

One of the main points to be singled out is

Great importance is also attached to…

In this connection, I’d like to say…

It further says that…

I find the question of…very important because…

We shouldn’t forget that…

I think that…should be mentioned here as a very important…mechanism of….

 

Divide the text into logical parts and give them titles. Retell the text.

Study the key words for the unit and make up sentences.

Requirements

a) reserve requirements - резервні потреби

b) to impose/meet/satisfy - requirements вводити/здійснювати/задовольняти потреби

Check

a) to accept check - акцептувати чек

b) to clear check - враховувати чек

c) to collect check - інкасувати чек

d) to deposit check - депонувати чек

e) to exchange check - обмінювати чек

f) to process check - обробляти чек

g) to write check - виписувати чек

h) check only for account - чек тільки для наявного розрахунку

i) check drawn on a bank - чек, який виписано на банк

Liabilities

a) liabilities for debts - зобов’язання по боргам

b) liabilities on bills of exchange - зобов’язання по векселям

c) accrued liabilities - зобов’язання, які накопичилися

d) current liabilities - короткострокові зобов’язання

e) fixed liabilities - довгострокові зобов’язання(облігації, векселя строком довше року)

Deposit

a) to deposit money with a bank - вносити гроші до банку

b) savings deposit - ощадний вклад

c) time deposit - строковий вклад

d) checking deposit - вклад на поточному рахунку

 

Exercises

 

1. a) Supply the articles where necessary.

b)Write down 3-5 questions about the text.

c) Describe the principal instruments of credit policy.

Credit Policy

Credit policy is... component of economic policy. It is a combination of measures taken by... Central Bank to affect the supply of credit. The aims of... credit policy may include stimulation or restriction of investment or consumer spending,... avoidance of price inflation.

Credit policy and monetary policy tend to be closely related and in some countries credit policy is regarded as... part of monetary policy.

Credit policy largely works indirectly. The Central Bank controls... amount of credit advanced by commercial banks through the interest rate policy, by influencing... liquidity, expanding or contracting the volume of Central Bank money. The principal instruments available for this purpose are... discount policy, minimum reserve requirements and open market operations. Direct credit control involving... establishment of credit ceilings is less frequently used now than in... past, many governments regarding it as... undesirable interference with the market mechanism.

Words you may need:

price inflation цінова інфляція

the amount of credit advanced... розміри наданого кредиту

discount policy облікова політика

credit ceiling стеля кредитування

 

Unit 10

 

 

money is tight грошей недостатньо

interbank market міжбанківській ринок

velocity of circulation швидкість обертання

to set targets встановлювати орієнтири, показники

alternatively та навпаки

to engage займатися

short-term government bonds державні короткострокові облігації

treasury bill казначейський вексель

to abandon відмовлятися

exhibit demand-driven який залежить від попиту

interest-bearing який приносить відсотковий доход

currency-driven inflation інфляція, яка є наслідком обсягу валютних засобів

to convert конвертувати

versus prep проти, в порівнянні

"steering" n керування

civil servant державний службовець

credit market ринок кредитів

to clear the market регулювати ринок