The Reserve Bank of India, released its June Mid-quarter Monetary Policy. Consider the following statements:begin{enumerate}item RBI left its key policy, repo rate unchanged at 7.25% in line.item CRR (Cash Reserve Ratio), remained at 4% .item Repo is the rate at which banks borrow from the central bank.end{enumerate} Select the correct answer using codes given below:

BANKING GENERAL KNOWLEDGE

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Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]

The Reserve Bank of India, released its June Mid-quarter Monetary Policy. Consider the following statements:

A	, remained at 4% .
B	1 and 2 only
C	2 and 3 only
D	1 and 3 only
E	1, 2 and 3

Explanation:

Detailed explanation-1: -Taking all these factors into consideration, real GDP growth for 2022-23 is projected at 7.0 per cent with Q2 at 6.3 per cent; Q3 at 4.6 per cent; and Q4 at 4.6 per cent, and risks broadly balanced. For Q1:2023-24, it is projected at 7.2 per cent (Chart 2).

Detailed explanation-2: -The RBI controls Inflation and Deflation by employing a variety of monetary policy tools such as Repo Rate, Reverse Repo Rate, Bank Rate, Open Market Operations, Statutory Liquidity Ratio (SLR), Cash Reserve Ratio (CRR), Liquidity Adjustment Facility (LAF), Market Stabilisation Scheme.

Detailed explanation-3: -On the basis of an assessment of the current and evolving macroeconomic situation, the Monetary Policy Committee (MPC) at its meeting today (August 5, 2022) decided to: Increase the policy repo rate under the liquidity adjustment facility (LAF) by 50 basis points to 5.40 per cent with immediate effect.

Detailed explanation-4: -Repo Rate: The (fixed) interest rate at which the Reserve Bank provides overnight liquidity to banks against the collateral of government and other approved securities under the liquidity adjustment facility (LAF).

There is 1 question to complete.