Federal Bank of Alduria-Wechua
|Type||Central bank of the Federation of Alduria and the Wechua Nation|
|Industry||Banking and Finance|
The Federal Bank of Alduria-Wechua is the central bank of the Federation of Alduria and the Wechua Nation. It was established in 1685 AN, as part of the package of legislation and reforms that came with the New Prosperity Plan. It acts as the banker of the Federation's government.
The bank was formed as an independent agency, led by a Chairman of the Bank that is appointed by the Council of State and confirmed by the Federal Constituent Assembly. Despite its status as an independent agency within the federal government, it is wholly 100% owned by the Department of the Treasury of Alduria-Wechua. By law, the bank retains significant independence in setting the monetary policy of the country because its monetary policy decisions do not have to be approved by the executive or legislative branches of government and because it does not receive funding appropriated by the government.
The National Economy Act, passed by the Federal Constituent Assembly in 1685 AN, established that the four main objectives for the independent central bank would be to maximize employment, stabilize prices, moderate long-term interest rates, and preserve the integrity of the national payment systems. The Banking Act added more responsibilities and powers for the independent central bank, including power to supervise and regulate banking in all of Alduria-Wechua, the maintenance of stability in the financial system, and financial services to depository institutions, the Alduro-Wechua government, and foreign official institutions. As a regulator and central bank, the Federal Bank of Alduria-Wechua does not offer consumer banking services. However, the Bank does manage some public-facing services such as exchanging superseded or damaged banknotes.
The Federal Bank is known in particular for its well-developed and meticulous research into matters relating to the economy of Alduria-Wechua through its weekly research publication, the National Economic Journal.
The Federal Bank of Alduria-Wechua is self-funded, with all of its operations remaining independent from any funding appropriated by the Alduro-Wechua government. The funding is almost all from the revenues from the bank's open market operations, sales of financial services (check and electronic payment processing), and discount window loans to depository institutions. The National Economic Journal prepares and publishes financial updates and budget information in each of its weekly issues, along with a separate large and detailed yearly report that is transmitted directly to the Council of State and the Federal Constituent Assembly.