Question

In India, the Marginal Standing Facility (MS

  • F is a tool used by the Reserve Bank of India (RB
  • I to lend to commercial banks at an overnight rate. What is the standard rate at which MSF is provided?
A 0.25% above the repo rate
B 0.50% below the repo rate
C 1% above the repo rate
D 1.50% above the repo rate
E At par with the repo rate
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