Question : ________________ is the rate at which the central bank lends money to commercial banks to meet their long term needs.
Option 1: Bank rate
Option 2: Repo rate
Option 3: Reverse repo rate
Option 4: Legal reserve reservation.
Correct Answer: Bank rate
Solution : Bank rate is the rate at which the central bank lends money to commercial banks to meet their long term needs. Hence, Option A is correct.
Question : ____________ is the rate at which the central bank lends money to commercial banks to meet their short term needs.
Question : The reverse repo rate is the rate at which Central Bank:
Question : ___________ is the rate at which the central bank lends money to commercial banks.
Question : The rate at which the Reserve Bank of India lends to other commercial banks for the short term has been reduced. What is this rate called?
Question : ___________ is the rate at which the central bank borrows money from commercial banks.
Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile