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प्रश्न
The ratio of total deposits that a commercial bank has to keep with Reserve Bank of India is called ______.
पर्याय
Statutory liquidity ratio
Deposit ratio
Cash reserve ratio
Legal reserve ratio
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उत्तर
The ratio of total deposits that a commercial bank has to keep with Reserve Bank of India is called cash reserve ratio.
Explanation:
The Cash Reserve Ratio (CRR) is the proportion of total deposits a commercial bank must keep in reserve with the Reserve Bank of India (RBI). This requirement ensures that banks keep a percentage of their deposits as reserves to help control liquidity in the banking system.
संबंधित प्रश्न
Answer the following question.
Explain, using a numerical example, how a reduction in reserve deposit ratio, affects the credit creation power of the banking system.
The creation of ______ is called credit creation.
The process of money creation or credit creation is done by ______.
Identify which of the following Statement is true?
Credit money is increased when CRR:
Which of these banks formulates the credit control tools?
Match the following:
| Column I | Column II | ||
| A. | Primary deposits | (i) | Payable on demand |
| B. | Derivative deposits | (ii) | Deposits for a fixed period of time |
| C. | Demand deposits | (iii) | Cash deposits of people |
| D. | Term deposits | (iv) | Deposits created by banks (or loan deposits) |
Match the following:
| Column I | Column II | ||
| A. | Formula of Money Multiplier | (i) | Inverse |
| B. | Money multiplier = 4 | (ii) | Money multiplier = 10 |
| C. | Relationship between LRR and money multiplier | (iii) | LRR = 0.25 |
| D. | LRR = 0.1 | (iv) | `1/"LRR"` |
Primary deposits differ from derivative deposits because ______.
In the credit creation process, loans of one bank become ______.
