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What is CRR Ratio?

Posted By On 1/29/2008 09:48:00 PM Under
1. Cash Reserve Ratio or CRR is the amount of depositors' balances that banks must have on hand as cash.

2. The CRR affects the money supply in a country and therefore a hike in CRR implies a decline in liquidity in the economy.

3. Presently RBI has kept CRR unchanged at 7.5% in India.



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