Table 1 Money creation thorough...

Table 1

Money creation thorough “inter-bank” channels

Assets	Liabilities and capital
Commercial Bank C
Inter-bank Lending or Lending to non-bank financial institution D … + X dollars	Deposits of D … + X dollars
↓
Inter-bank Lending or Lending to non-bank financial institution D … + X dollars	Deposits of borrower E … + X dollars

Assets	Liabilities and capital
Commercial Bank C
Inter-bank Lending or Lending to non-bank financial institution D … + X dollars	Deposits of D … + X dollars
↓
Inter-bank Lending or Lending to non-bank financial institution D … + X dollars	Deposits of borrower E … + X dollars

Source(s): The table is created by authors