what is the effect of crr hike on market?
Answer Posted / kc
CRR is the amount of funds commercial banks have to keep
with RBI.If RBI decides to increase the percent of this,
the available amount with the banks comes down. RBI is
using this method (increase of CRR rate), to drain out the
excessive money from the banks.
| Is This Answer Correct ? | 12 Yes | 2 No |
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