Liquidity Adjustment Facility (LAF) is the primary instrument of Reserve Bank of India for modulating liquidity and transmitting interest rate signals to the market. It refers to the difference...
Repo is a short term borrowing for dealers in the Government securities. In India, Repo and Reverse Repo transactions are done only in Mumbai and only between the...
The discount factor is a fundamental concept in economics, finance, and decision theory, representing the measure by which future cash flows or benefits are converted into present values....
The Base Rate System was a framework introduced by the Reserve Bank of India (RBI) in July 2010 to bring greater transparency and uniformity to the lending practices...
Interest rates represent the cost of borrowing money or, conversely, the return earned on lending or saving funds over a period of time. They are a fundamental element...
Credit control is most important function of Reserve Bank of India. Credit control in the economy is required for the smooth functioning of the economy. By using credit...
Open Market Operations refer to the purchase and sale of the Government securities (G-Secs) by RBI from / to market. The objective of Open Market Operations is to...
The question arises is that what is the difference between Narrow Money (M1), Broad Money (M3) and Reserve Money? This is very important question. When we say that...
During the 1970s RBI introduced the Money Stock Measures. These were appropriately changed on the recommendation of the Y B Reddy Committee in the late 1990s. Supply of...
The Monetary Policy of the Reserve Bank of India (RBI) serves as a key instrument for achieving economic stability, growth, and financial discipline within the Indian economy. As...