(i) The central bank is the apex monetary institution, which has been specially empowered to exercise control over the banking system of the country while the commercial banks are the constituent unit of the banking system.
(ii) The central bank does not operate with a profit motive while on the contrary, the commercial banks have profit earning as their primary objective.
(iii) The central bank is generally central government owned institution, while the commercial banks are private and public owned institutions.
(iv) The central bank does not deal directly with the public while the commercial banks deal with the people directly.
(v) The central bank has the monopoly of note issue while the commercial banks do not enjoy such right.