Which of the following is not a qualitative tool used by RBI to contro – InterviewSolution

1.	Which of the following is not a qualitative tool used by RBI to control the flow of liquidity?1). RBI Guidelines2). Moral Suasion3). Open Market Operations4). Rationing of Credit
Answer» RBI USES quantitative as well as qualitative tools for CREDIT control which is required for the functioning of the economy. Quantitative tools are USED to control the quantity of liquidity in the economy. CRR, SLR, Bank Rate, LAF, MSFR, and Open Market Operations (OMO) are quantitative tools. Qualitative tools are used to control the flow of liquidity. These tools are RBI guidelines, Marginal requirements. Consumer credit regulation, MORAL suasion, Rationing of credit and Direct Action.

Discussion

No Comment Found

Related InterviewSolutions

The Security Printing and Minting Corporation of India Limited was established in the year ________. 1). 20062). 20053). 20044). 2010
1). 500 Cr2). 400 Cr3). 300 Cr4). 200 Cr
LSR is a mismatch on bank’s balance sheets. What is the meaning of ‘L’ in ‘LSR’?1). Least2). Liquidity3). Legal4). Low
RBI issued short-term debt management instruments known as CMBs. What does ‘B’ stand for in the same?1). Bills2). Bonds3). Banks4). Branch
1). AC Shah Committee2). A Ghosh Committee3). Abid Hussain Committee4). Nachiket Mor Committee
Which of the following terms does NOT figure in FINO?1). Financial2). Inclusion3). Operation4). Network
1). Only I and II are correct2). Only III is correct3). Only II is correct4). All are correct
Market risks are most prominent for banks engaged in1). Retail banks2). Investment banks3). Commercial banks4). Central banks
What does second 'C' denotes in C A LC S?1). Capital Adequacy2). Clearence3). Customer4). Compliance
Ujjivan SFB has announced the launch of its overdraft facility for all MSEs with a turnover of Rs ________ lakhs or more.1). 102). 253). 504). 65