the federal Bank

Monetary System

This refers to the force exerted by the government's monetary sovereignty. The main tasks of the state in this context, the imposition of the monetary unit, the relevant authorities on monetary policy and creating appropriate conditions for the money issue and control the money supply.

Broadly defined to include monetary system in which all state regulations and instruments that serve the order of the monetary system of that country. Legal basis in the Federal Republic of Germany is the first currency of the Law of 20 June 1948 and the second of the Treaty establishing a monetary union with the former East Germany from July 1, 1990. References in the first part was determined by following the Treaty of 1990, on the one side area and the unit of currency (then the German mark). As to the issue of coins is regulated by the Coinage Act of 1950 belongs to the federal government. The monopoly over the issuance of banknotes in the German Bundesbank, the federal Bank Act is a legal basis for this monopoly, it also predicts that the subject of remarks by Federal Bank is just unlimited legal tender. Key cuts bring the monetary authorities to introduce the new euro currency.