This module aims to examine the structure of the banking system, the financial system and the components and functions of money. It also aims to assess methods of determination of interest rates and exchange rates. It also analyses the role of central banks, the process of multiple deposit creation and evaluates the theoretical and empirical aspects of the role of monetary policy in macroeconomic stabilization and economic growth.

This module is linked to the sustainable development goals, especially SDG8 related to decent work and economic growth, as the module teaches students how policy makers can use fiscal and monetary policies in enhancing economic growth.