Monetary Policy

What is Marginal Standing Facility (MSF)? Meaning, Definition

Marginal Standing Facility (MSF): “Marginal Standing Facility (MSF) refers to the collateralised short term borrowing facility for the scheduled commercial banks and other financial institutions from the Reserve Bank of India (RBI).” In other words, MSF is an instrument for the commercial banks and other financial institutions to avail the short term (overnight or one …

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What is Bank Rate? Meaning, Definition | Repo Rate vs Bank Rate

In this lesson, we will discuss one of the important monetary instruments of the Reserve Bank of India. You will be able to learn the following terms by the end of this lesson. What is Bank Rate? Usage of Bank Rate Difference between Repo Rate and Bank Rate What is Bank Rate? “The Bank Rate …

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What is Statutory Liquidity Ratio (SLR)? Meaning, Definition | Objectives of SLR

What is the Statutory Liquidity Ratio (SLR)? “The Statutory Liquidity Ratio (SLR) refers to the certain proportion of NDTL (Net Demand and Time Liability) of the commercial banks that has to be maintained with itself in form of liquid assets such as cash, gold or government approved securities by the commercial banks.” The Reserve Bank …

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What is Cash Reserve Ratio (CRR)? Meaning, Definition and Objectives

Table of Content: What is the Cash Reserve Ratio (CRR)? Objectives of Cash Reserve Ratio How do CRR works? Cash Reserve Ratio vs Statutory Liquidity Ratio       What is the Cash Reserve Ratio (CRR)? “Cash Reserve Ratio (CRR) refers to the certain proportion of Net Demand and Time Liability (NDTL) of the commercial …

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What is Repo Rate? Meaning and definition | Reverse Repo Rate

Table of Content: What is Repo Rate or Repurchase Option Agreement Rate? What is Reverse Repo Rate?  Explained with example. Effect of Repo Rate and Reverse Repo Rate on the rate of Inflation.  How does the Repo Rate and Reverse Repo Rate effect on Growth Rate? What is Repo Rate? The term ‘Repo’ refers to …

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