Question : _____________is the interest rate at which the Reserve Bank of India (RBI) lends money to commercial banks of the country.
Option 1: Reserve Repo Rate
Option 2: Base Rate
Option 3: Marginal Rate
Option 4: Repo Rate
Correct Answer: Repo Rate
Solution : The correct option is the Repo Rate .
The "Repo Rate" is the interest rate at which commercial banks get loans from the Reserve Bank of India (RBI). "Repo" stands for "Repurchase Agreement." Commercial banks can sign a buyback arrangement with the RBI and pledge government securities as security when they need money. The repo rate is the interest rate the RBI charges on this type of short-term borrowing.
Related Questions
Know More about
Staff Selection Commission Multi Tasking ...
Application | Cutoff | Selection Process | Preparation Tips | Eligibility | Exam Pattern | Admit Card
Get Updates Brochure
Your Staff Selection Commission Multi Tasking Staff Exam brochure has been successfully mailed to your registered email id “”.
