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      Question

      Why has RBI deferred the rollout of Liquidity Coverage

      Ratio (LCR) norms?
      A Opposition from customers Correct Answer Incorrect Answer
      B Issues with international compliance Correct Answer Incorrect Answer
      C Pressure from the Finance Ministry Correct Answer Incorrect Answer
      D To prevent a liquidity crisis in banks Correct Answer Incorrect Answer
      E Lack of required technology Correct Answer Incorrect Answer

      Solution

      RBI deferred the Liquidity Coverage Ratio (LCR) norms by a year, now set for implementation after March 31, 2026, as banks opposed the deadline, fearing a liquidity crunch. The norms would have required banks to divert β‚Ή4 lakh crore into government bonds, impacting credit flow.

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