📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!

  • google app store apple app store

    • Question

      What is the role of Open Market Operations (OMO) by

      RBI?
      A Increase forex reserves Correct Answer Incorrect Answer
      B Control inflation and liquidity by buying/selling govt securities Correct Answer Incorrect Answer
      C Control bank lending rates directly Correct Answer Incorrect Answer
      D Provide agricultural subsidies Correct Answer Incorrect Answer
      E Reduce CRR Correct Answer Incorrect Answer

      Solution

      Open Market Operations (OMO) are RBI tools to control liquidity/inflation by buying or selling government bonds in the market.

      Practice Next

      Relevant for Exams:

      ask-question