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RBI lends to the commercial banks through its discount window to help the banks meet depositor's demands and reserve requirements. The interest rate the RBI charges the banks for this purpose is called bank rate. If the RBI wants to increase the liquidity and money supply in the market, it will decrease the bank rate and if it wants to reduce the liquidity and money supply in the system, it will increase the bank rate. As of 5 May, 2011 the bank rate was 6%.
Cash Reserve Ratio (CRR): Every commercial bank has to keep certain minimum cash reserves with RBI. RBI can vary this rate between 3% and 15%. RBI uses this tool to increase or decrease the reserve requirement depending on whether it wants to affect a decrease or an increase in the money supply. An increase in Cash Reserve Ratio (CRR) will make it mandatory on the part of the banks to hold a large proportion of their deposits in the form of deposits with the RBI. This will reduce the size of their deposits and they will lend less. This will in turn decrease the money supply. The current rate is 6%.
Statutory Liquidity Ratio (SLR): Apart from the CRR, banks are required to maintain liquid assets in the form of gold, cash and approved securities. Higher liquidity ratio forces commercial banks to maintain a larger proportion of their resources in liquid form and thus reduces their capacity to grant loans and advances, thus it is an anti-inflationary impact. A higher liquidity ratio diverts the bank funds from loans and advances to investment in government and approved securities.
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What is the current CRR and SLR rate of Bangladesh for 2012?
crr=6% slr=19%
What is the full form of slr coach in railway?
SLR stands for Gurad or Brake van in Indian railway. To get more List of abbreviations related to Indian railway, please check Indian railway officials - http://www.indianrailways.gov.in/railwayboard/view_section.jsp?id=0,1,304,366,389,402,435,495 TravelKhana.com
What is the current SLR rate of India?
Current SLR of RBI is 23% with effect from 01/08/2012.
In the book where's stig where is Richard in the studio?
well when you look at whats going on in the studio its when he gets hypnotised into beliveing this small car is his Porsche so just in front of the mclaren slr next to Jeremy in his hummer about to crash into him in the white car
Can anyone tell me the brand of the gold watch that Djimon Hounsou wears in the opening scene of Push?
Looks like a Tag Heuer Microtimer in 18k gold. A few Tag's in the movie. The female agent at the start of the movie appears to be wearing a Tag SLR.
What is the current CRR and SLR rate of Bangladesh for 2012?
crr=6% slr=19%
What is the current CRR and SLR rate for 2011?
The present rate of CRR is 6% and SLR is 24%.Thank you.
Is CRR is included in SLR?
yes
What is current cash reserve ratio and SLR ratio?
As on 19th aug, 09 CRR is 5% and SLR is 24% You can get the latest CRR and SLR from http://www.rbi.org.in/home.aspx
What is the current CRR and SLR in Bangladesh in 2013?
In 2013, the CRR in Bangladesh was 4%. In the same year, the SLR for Bangladesh was set at 23%.
What is current CRR of Pakistan?
present CRR = 5.25 % SLR = 25.0 % These rates are subjected to change quarterly
What is negative carry on CRR and SLR?
Negative carry on CRR and SLR balances arises because the return on CRR balances is nil, while the return on SLR balances (proxied using the 364-day Treasury Bill rate) is lower than the cost of deposits. Negative carry on CRR and SLR is arrived at in three steps. In the first step, return on SLR investment was calculated using 364-day Treasury Bills. In the second step, effective cost was calculated by taking the ratio (expressed as a percentage) of cost of deposits (adjusted for return on SLR investment) and deployable deposits (total deposits less the deposits locked as CRR and SLR balances). In the third step, negative carry cost on SLR and CRR was arrived at by taking the difference between the effective cost and the cost of deposits.
What is CRR and SLR in pre reform period?
SLR- Statutory Liquid ratio- is the minium amount of liquid assets a bank must retain. CRR-Cash reserve ratio - is the minium amount of money a bank should retain in form of cash or hard currency.
What is the difference between CRR and SLR?
CRR stands for Cash Reserve Ratio - The amount of money each bank has to maintain as deposits with the central bank SLR - Statutory Liquidity Ratio - The amount of money each bank has to maintain as liquid cash to meet its daily cash requirements.
Monetary policy of India?
means latest crr, repo rate,revers repo rate, bank rate ,slr
How crr and slr is calculated?
The best way to understand is to read the RBI circular here: rbidocs.rbi.org.in/rdocs/notification/PDFs/55663.pdf
What is the current Statutory liquidity requirement of Commercial bank in Bangladesh?
19.0 percent of their total demand and time liabilities on daily basis, inclusive of average 6.0 percent (at least 5.5 percent in any day) Cash Reserve Ratio (CRR) on biweeklybasis. The CRR is to be kept with the BB and the remainder as qualifying unencumbered assets, either in cash or in Government securities. The SLR for the banks operating under the Islamic Shariah is 11.5 percent (inclusive of average 6.0 percent CRR on bi-weekly basis and at least 5.5 percent in any day). The specialised banks are exempted from maintaining the SLR.
