A Monetary Financial Institution (MFI) is a resident credit institution as defined in European Union (EU) law, and other resident financial institution whose business is to receive deposits and/or close substitutes for deposits from entities other than MFIs and, for their own account (at least in economic terms), to grant credits and/or make investments in securities. Accordingly, MFIs include central banks, resident credit institutions as defined in Community Law, and other resident financial institutions whose business is to receive deposits or close substitutes for deposits from entities other than MFIs and, for their own account (at least in economic terms), to grant credits and/or make investments in securities. Money market funds are also classified as MFIs.
