BCk

CRR Amount of funds which bank to has to keep with RBI Example: when someone deposits RS 100 with a bank it increases the deposits of the bank by RS 100. If the CRR is 9% then the bank will have to hold additional RS 9 with the central bank this means that the commercial bank will be able to use only RS 91 for investment and/or lending or credit parpose. SLR Amount of funds bank to keep in liquid assets with themselves. Example: cash, gold, government approved securities

Sejal Shivani

CA Foundation

★ 5K+

14-Sep-21 23:42