This module provides a comprehensive exploration of macroeconomic policy frameworks with special attention to fiscal policy, monetary policy, and their interaction with the banking sector and financial stability. Students will examine the dual role of banks—as financial intermediaries at the microeconomic level and as key players in macroeconomic policy transmission. The module analyses how monetary and fiscal policies interact with each other and the banking system, exploring transmission channels, policy effectiveness, and financial stability implications. Students will evaluate the regulatory frameworks designed to maintain financial stability, including macroprudential policies and their coordination with traditional monetary and fiscal tools. The module also addresses emerging policy challenges such as inequality and climate change, examining how sustainable macroeconomic policies can promote long-term economic stability and social welfare in line with the United Nations Sustainable Development Goals (SDGs). Through case studies and data analysis, students will develop the analytical skills needed to assess various policy interventions in different economic environments, evaluate bank risk management strategies, and analyse the effectiveness of policy responses to economic downturns and financial crises. This module bridges microeconomic banking theory with macroeconomic policy practice, preparing students for careers in central banking, government finance departments, financial regulation, and economic policy analysis.