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Question
Give one difference between qualitative and quantitative credit control.
Distinguish Between
Solution
Qualitative credit control | Quantitative credit control |
They concentrate on alternative credit usage in the economy. These measures use a variety of strategies to regulate the flow of credit to specific areas of economic activity, such as margin requirements, moral suasion, and so on. | By employing various approaches such as bank rate, CRR, and others, these strategies influence the entire amount of credit without distinguishing between necessary and non-essential uses of credit. |
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Quantitative and Qualitative Credit Control Measures Adopted by RBI
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