Kodiak Bank Act
Kodiak Bank Act
The Kodiak Central Bank of the Most Serene Republic (hereinafter referred to as the Kodiak Bank) is approved under the Ministry of Revenue and Treasury. ACTIONED on ## month ####, ## Aye, ## Nay, ## Abstain.
Article One - The Kodiak Bank
1.1 Kodiak Bank belongs to the Most Serene Republic of Kodiak (hereinafter - Kodiak) represented by the current Minister of Revenue and Treasury on the rights of exclusivity, non-transferability and indivisibility.
1.2 The Kodiak Bank is managed by the Minister of Revenue and Treasury through a person appointed by him, called the Director of the Kodiak Central Bank of the Most Serene Republic (hereinafter referred to as the Director of the Kodiak Bank), who represents the Kodiak Bank.
1.3 The Director of the Kodiak Bank forms the administrative staff of the Kodiak Bank at his discretion.
1.4 Kodiak Bank is financed exclusively from its own funds. Any non-commercial financing of the Kodiak Bank is equated to corruption.
Article Two - Rights of The Bank
2.1 Kodiak Bank has exclusive and non-exclusive rights defined only by this law.
2.2 The Kodiak Bank has the exclusive right to mint physical currency.
2.3 Kodiak Bank has the right to any trading operations with florins and other currencies, securities and precious metals.
2.4 Conduct weekly auctions among commercial banks on the right to grant them loans or on the right to lend to Kodiak Bank.
2.5 Exchange funds on correspondent accounts for cash
Article Three - Kodiak Bank is obliged to:
3.1 Financially serve the Ministry of Revenue and Treasury.
3.2 Report on the work done to the Minister of Revenue and Treasury.
3.3 Have an official page with a link http://kodiakbank .ko
3.4 Publish and update daily on the official page data on the exchange rate, central rate and inflation.
3.5 Create and maintain an Interbank Fast Payment System (IFaPS).
3.6 Conduct trading operations with commercial banks only through IFaPS and only through correspondent accounts of banks.
3.7 Manage all Kodiak exchange reserves.
Article Four - Abilities of The Bank
4.1 All commercial banks registered in the territory of Kodiak as such are required to have a mandatory amount of money in the Kodiak Bank (called a correspondent account), the amount of which is determined by the Director of the Kodiak Bank
4.2 The correspondent account may consist only of florins.
4.3 Kodiak Bank has the right to freeze part of the assets of the correspondent account, the amount of frozen funds is determined by the mandatory reserves ratio, which takes values from 0 (the amount of frozen funds in the correspondent account is zero) to 1 (the amount of frozen funds in the correspondent account is equal to the entire correspondent account) and is the same for all commercial banks.
4.4 The coefficient of mandatory reserves is set by the Director of the Kodiak Bank.