Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: Money and Banking

Question:

Banks are required to keep some reserves in liquid form in short term. It is called _____.

Options:

CRR

Bank Rate

SLR

Loans

Correct Answer:

SLR

Explanation:

The correct answer is Option (3) → SLR

Apart from the CRR, banks are also required to keep some reserves in liquid form in the short term. This ratio is called Statutory Liquidity Ratio or SLR.