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When banks have any shortage of funds, they can borrow it from Reserve Bank of India or from other banks. The rate at which the RBI lends money to commercial banks is called repo rate.
The Reserve Bank parks its money with other banks at the reverse repo rate.
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∙ 12y ago
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What is the current repo rate and reverse repo rate and bank rate by RBI in India?
As of October 12, 2010, according to the Reserve Bank of India... repo rate 6.00% reverse repo rate 5.00% overnight call money 6.24%
What do you mean by reverse repo rates?
# 2 Repo rate is the discounting rate at which central bank borrows security from commercial bank.Repo means repurchase agreement b/w RBI &commercial bank. Reverse repo is the rediscounting rate at which commercial bank borrows discounted security from central bank ie RBI.
What is the current repo rate and reverse repo rate in india?
The current Repo Rate is 6.5% and that of Reverse Repo Rate is 5.5%. While the Bank Rate is 6.00% ..
What do you mean of reverse repo rate?
When banks have any shortage of funds, they can borrow it from Reserve Bank of India or from other banks. The rate at which the RBI lends money to commercial banks is called repo rate. The Reserve Bank parks its money with other banks at the reverse repo rate.
How many differences between repo rate and reverse repo rate?
Assuming the State Bank of India, the spread between repo rate and reverse repo rate has trended towards 1.00%.
Repo and reverse repo?
Repo Rate - also called Bank rate is the rate at which central banks lend loans to the member banks of a country. This rate actually impacts the rate at which these member banks grant loans to their customers Reverse Repo Rate - is the reverse of repo rate and is the interest the central bank would pay its member banks.
What is repo rate and reverse repo rate of RBI?
Repo Rate - also called Bank rate is the rate at which central banks lend loans to the member banks of a country. This rate actually impacts the rate at which these member banks grant loans to their customers Reverse Repo Rate - is the reverse of repo rate and is the interest the central bank would pay its member banks.
What is repo rate and reverse repo rate?
When banks have any shortage of funds, they can borrow it from Reserve Bank of India or from other banks. The rate at which the RBI lends money to commercial banks is called repo rate. The Reserve Bank parks its money with other banks at the reverse repo rate.
Repo rate and reverse repo rate?
When banks have any shortage of funds, they can borrow it from Reserve Bank of India or from other banks. The rate at which the RBI lends money to commercial banks is called repo rate. The Reserve Bank parks its money with other banks at the reverse repo rate.
Why reverse repo rate of RBI always less than repo rate?
Because a central bank is more secured place to lend money than any bank... Therefore when RBI lends money to banks i.e Repo is less secured than Any bank parking its funds with RBI.. i.e is Reverse Repo.
What is full form of reverse repo rate?
Repo Rate - also called Bank rate is the rate at which central banks lend loans to the member banks of a country. This rate actually impacts the rate at which these member banks grant loans to their customers Reverse Repo Rate - is the reverse of repo rate and is the interest the central bank would pay its member banks.
What is the reverse repo rate?
When banks have any shortage of funds, they can borrow it from Reserve Bank of India or from other banks. The rate at which the RBI lends money to commercial banks is called repo rate. The Reserve Bank parks its money with other banks at the reverse repo rate.
