Moral suasion as a qualitative instrument of credit control is a method used by the central bank to influence the lending behaviour of commercial banks and other financial institutions by using its moral authority and persuasive power, rather than legal or regulatory means. Moral suasion involves the central bank issuing advice, suggestions, requests and appeals […]
Margin requirements refer to the difference between the current value of the security offered for loan (called collateral) and the value of loan granted. For example, mortgaging land for Rs 100 lakh with the bank for a loan of Rs 75 lakh would have a margin requirement of Rs 25 lakh. Margin requirements are a
Margin Requirements Read More »
The functions of commercial banks in India are:
Functions of Commercial Banks Read More »
Quantitative and qualitative methods of credit control are two types of instruments used by the central bank of a country to regulate the money supply and interest rates in the economy. Here are some points to explain them: Quantitative Methods Qualitative Methods
Quantitative and Qualitative methods of credit control Read More »
Reverse repo rate is a term used in the banking and financial sector. It is related to the monetary policy of a country, which is the way the central bank manages the money supply and interest rates in the economy. Reverse repo rate is the opposite of repo rate. It is the interest rate which
Bank rate is an important concept in economics that affects the interest rates, money supply, inflation, and growth in a country. What is bank rate? Bank rate is the interest rate at which the central bank of a country lends money to commercial banks. For example, in India, the central bank is the Reserve Bank
Repo rate is the interest rate that the central bank of a country charges from the commercial banks when they borrow money from it. Repo rate is also called repurchase rate, which means that the commercial banks have to repurchase or buy back the securities that they sell to the central bank as collateral for
Cash reserve ratio (CRR) is the percentage of total deposits that commercial banks have to keep as cash reserves with the central bank of their country. For example, in India, the central bank is the Reserve Bank of India (RBI), and the current CRR is 4.5%. This means that for every 100 rupees deposited in
Cash Reserve Ratio (CRR) Read More »
Government securities are debt instruments issued by a sovereign government to raise funds for various purposes, such as financing public projects, managing budget deficits, or paying off existing debts. From the investor perspective they are considered to be low-risk investments, as they are backed by the full faith and credit of the issuing government. Investors who
Government Securities Read More »
Below you will find the solutions for national income accounting class 12 Sandeep Garg book unsolved numericals. Sandeep Garg is a very useful book and is among the top books used by students for preparing for class 12 CBSE Board economics paper. Sandeep Garg economics class 12 book is strongly recommended for students for preparing
Sandeep Garg National Income Solutions – Q Nos 51 to 82 – Macro Economics – Part 2 Read More »
