BANKING AFFAIRS

BANKING GENERAL KNOWLEDGE

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Quantitative instrument of RBI can be
A
Bank Rate Policy (BRP)
B
Cash Reserve Ratio (CRR)
C
Statutory Liquidity Ratio (SLR)
D
All of these
Explanation: 

Detailed explanation-1: -The list of quantitative instruments includes Open Market Operations, Bank Rate, Repo Rate, Reverse Repo Rate, Cash Reserve Ratio, Statutory Liquidity Ratio, Marginal standing facility, and Liquidity Adjustment Facility (LAF).

Detailed explanation-2: -The quantitative measures of credit control are Bank Rate Policy: The bank rate is the Official interest rate at which RBI rediscounts the approved bills held by commercial banks.

Detailed explanation-3: -The quantitative instruments are Open Market Operations, Liquidity Adjustment Facility (Repo and Reverse Repo), Marginal Standing Facility, SLR, CRR, Bank Rate, etc.

Detailed explanation-4: -The instruments of monetary policy include discount rate, reserve requirements, and open market operations.

Detailed explanation-5: -Bank rate, Statutory Cash Reserve Requirement, Statutory Liquidity Ratio are the instruments of quantitative credit control. Moral Suasion is not quantitative credit control instrument of credit control.

There is 1 question to complete.