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The Reserve Bank of India influences liquidity and interest rates through a number of operating…

Distorted Bank Policy is not a recognised monetary-policy operating instrument. Open market operations, repos and changes in the bank rate can influence liquidity or the…

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The Reserve Bank of India influences liquidity and interest rates through a number of operating instruments. Which among the below is incorrect ?

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Answer and explanation

Correct answer D

Distorted Bank Policy is not a recognised monetary-policy operating instrument. Open market operations, repos and changes in the bank rate can influence liquidity or the cost of funds.

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  • Maharashtra and Goa SET (MH SET)

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