Answer Posted / hariprasad
BANK RATE IS THE RATE AT WHICH CENTRAL BANK LENDS FUNDS TO
COMMERCIAL BANKS AND OTHER FINANCIAL INSTITUTIONS. THE
VARIATION IN BANK RATE HAS AN INVERSE EFFECT ON DEMAND FOR
BORROWINGS BY THE COMMERCIAL BANKS FROM THE APEX BANK.
| Is This Answer Correct ? | 12 Yes | 0 No |
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