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Explain Cash Reserve Ratio. - Commercial Applications

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प्रश्न

Explain Cash Reserve Ratio.

थोडक्यात उत्तर

उत्तर

  1. Commercial banks are required to keep a specified percentage of their cash reserves with the central bank.
  2. An increase in the cash reserve ratio reduces the capacity of commercial banks to grant credit.
  3. On the other hand, a decrease in the cash reserve ratio expands the credit-granting capacity of commercial banks.
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Credit Control by Central Bank
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पाठ 7: Banking and Bank Transactions - EXERCISES [पृष्ठ १२७]

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गोयल ब्रदर्स प्रकाशन Commercial Applications [English] Class 10 ICSE
पाठ 7 Banking and Bank Transactions
EXERCISES | Q 31. i. | पृष्ठ १२७
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