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प्रश्न
Write Short note on :
Cash Reserve Ratio (CRR)
उत्तर
CRR or the Cash Reserve Ratio refers to the minimum amount of funds that a commercial bank has to maintain with the Reserve Bank of India in the form of deposits. For example, suppose the total assets of a bank are worth Rs.200 Crores and the minimum cash reserve ratio is 10%, the amount that the commercial bank has to maintain with RBI is Rs.20 Crores. If this ratio rises to 20%, the reserve with RBI increases to Rs.40 Crores. Thus, less money will be left with the commercial bank for lending. This will eventually lead to considerable decrease in the money supply.
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संबंधित प्रश्न
Clearing house system economises the use of cash.
The Central bank may take direct action against the defaulting commercial banks.
Answer the following question.
Explain the 'lender of last resort' function of central bank.
Explain bankers bank function of a Central bank.
State whether the following statement is True or False:
The main objective of the Central Bank is to earn a profit.
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Central Bank is called as the bankers' bank .
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Commercial Bank and Central Bank.
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The Central bank works as a Bankers’ Bank.
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Cash Reserve Ratio and Statutory Liquidity Ratio
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Regulation of Margin Requirements
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Explain the Data Collection and Publicity functions of the Central Bank.
State with reason whether you agree or disagree with the following statement.
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Answer in detail.
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Central bank is a bank which issues notes.
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Fiscal agent of the government.
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