The rate at which Reserve Bank of India borrows money from other banks is called :
The reverse repo rate is the rate at which the Reserve Bank of India borrows funds from banks through reverse repo transactions. The repo rate applies when the Reserve Bank…
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The rate at which Reserve Bank of India borrows money from other banks is called :
Answer and explanation
Correct answer D
The reverse repo rate is the rate at which the Reserve Bank of India borrows funds from banks through reverse repo transactions. The repo rate applies when the Reserve Bank lends funds to banks; the cash reserve ratio is a reserve requirement.
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Madhya Pradesh SET (MP SET)