Questions tagged [central-bank]

I regularly read that the European Central Bank charges a negative interest rate on money that banks park there. But why would a bank put their money to the Central Bank then? Can't they just keep it in their own bank and not have to pay that…

I have read that the central bank has an interest rate which affects the rate at which banks borrow and lend federal reserves to one another. What I am confused about is how the central bank's interest rate affects individuals, for example, how the…