Question
Evaluate the following statements about CRR and SLR: I. CRR (Cash Reserve Ratio) is the percentage of a bank's Net Demand and Time Liabilities (NDT
- L that must be maintained as cash with the RBI, on which banks earn no interest. II. SLR (Statutory Liquidity Ratio) requires banks to maintain a percentage of NDTL in gold, cash, or approved securities (primarily G-Secs). The current SLR is 18% of NDTL. Which of the above is/are correct?
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