According to the Law No. 1715, the primary objective of the Central Bank was to support the economic development of the country. To this end, the Bank was authorized to set rediscount ratios (the main policy tool), regulate money markets and the circulation of money, execute Treasury operations, and take measures related to the stability of the Turkish currency. The Bank was vested with the exclusive privilege of issuing banknotes in Turkey. Additionally, the Bank also assumed the role of the treasurer of the Government. Under the fixed exchange rate regime implemented during that period, the Government was the authority to set the exchange rates.