Market operations refer to the activities conducted by central banks to manage the supply of money and influence interest rates in the economy. These operations typically involve buying or selling government securities in the open market, which can affect the amount of money circulating in the financial system. By adjusting the money supply, central banks aim to achieve economic stability and control inflation. In addition to buying and selling securities, market operations can include other tools like repurchase agreements and reverse repurchase agreements. These tools help central banks provide liquidity to financial institutions or withdraw excess money from the market, ensuring that the banking system operates smoothly.