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The banking system is the backbone of the economy of a country. The banks also play a crucial role in day to day life of the citizens.
What is Escrow Account? www.thesisbusiness.com When it comes to international trade or large transactions or corporate deals between two parties or individuals where the trustworthiness regarding fulfilment of contractual obligations of any parties or company or individuals is uncertain, there surely arise the requirement of an Escrow Account to avoid or eliminate the risk associated … Read more
Monetary Policy of RBI: The Reserve Bank of India (RBI) is the central bank of India which is responsible for regulating various financial institutions such as scheduled banks, non-scheduled banks and Non-Banking Finance Institutions (NBFCs). The Reserve Bank of India (RBI) being a monetary authority (Statutory Body) of India is also responsible for formulating and … Read more
What is Monetary Policy? www.thesisbusiness.com “The Monetary Policy is the sets of policies (rules and regulations or activities) which are adopted by the Monetary Authority (central bank) of a country to regulate the money supply, to influence inflation rate, interest rates, unemployment rate and to stabilise the currency exchange rate with respect to other currencies.” … Read more
Open Market Operations: “An Open Market Operations refers to the exchange of securities between the central bank and the commercial banks or group of commercial banks or other financial institutions to regulate the supply of money and to stabilise inflation rate, exchange rate and interest rates.” In other words, an Open Market Operations (OMO) is … Read more
www.thesisbusiness.com Market Stabilisation Scheme (MSS) – The Market Stabilisation Scheme (MSS) refers to a special type of instrument of monetary policy of the central bank of any country usually implemented to absorb the excess liquidity from the economy. Under this scheme (MSS), the central bank issues some securities such as treasury bills, government bonds, etc in the market … Read more
