Question

Why did the RBI defer the rollout of the Liquidity Coverage Ratio (LC

Q: Answer-Why did the RBI defer the rollout of the Liquidity Coverage Ratio (LCR) norms by a year?

The RBI deferred the rollout of the Liquidity Coverage Ratio LCR norms by a year to prevent a liquidity crisis, ensuring credit availability in the market.

R norms by a year?

A To align Indian banking regulations with international standards

B To prevent a liquidity crisis that could have reduced credit availability

C To encourage banks to invest more in high-risk assets

D To allow public sector banks to merge before implementing new norms

E To introduce a dual-system liquidity framework for private and public banks

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