A Monetary Authority is a government institution responsible for managing a country's currency, money supply, and interest rates. Its primary goal is to maintain economic stability and control inflation. This authority often implements monetary policy through tools like setting interest rates and regulating banks. In many countries, the Monetary Authority is synonymous with the central bank, such as the Federal Reserve in the United States or the European Central Bank in the Eurozone. These institutions play a crucial role in ensuring financial stability and fostering economic growth by influencing lending and investment in the economy.