There is no difference between the Central bank and a commercial bank.

No, I do not agree with this statement because there are differences between Commercial Bank and Central Bank.

Commercial Bank
Central Bank
1.      Meaning
The commercial bank is that bank which accepts deposits from public for the purpose of lending. It also performs secondary functions.

2.      Examples
Bank of Baroda, Dena Bank, SBI, Central Bank of India etc. are commercial bank.
3.      Printing of Currency
The commercial bank cannot print currency notes and coins
4.      Acceptance of Deposits
The commercial bank accepts deposits from the public
5.      Provision of Loans
The commercial bank provides loans to the industry and to the public.
6.      Ownership
It can be owned by private and /Government agencies.
The Central Bank (RBI) regulates money supply in the country. It also acts as a banker to the Government and to the other banks.


Reserve Bank of India is the Central Bank in India.


The RBI has the power to print currency notes in India. (Except 1 Rs. Notes)

The RBI does not accept deposit from the public


The RBI provides loans to scheduled banks and financial institution.

It is owned and controlled by Government of India.

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