Question
How much liquidity is expected to be injected by the
phased 100 basis point CRR cut till December 2025?Solution
The RBI announced a phased 100 basis point reduction in the Cash Reserve Ratio (CRR), effective till December 2025. This move aims to inject ₹2.5 lakh crore liquidity into the banking system. CRR is the percentage of a bank’s NDTL (Net Demand and Time Liabilities) that must be kept with the RBI in cash form.
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