Question
To contain the volatility in the overnight inter-banks
rate, Marginal Standing Facility (MSF) was introduced by RBI in the year?ÂSolution
Marginal standing facility (MSF) is a window for banks to borrow from the Reserve Bank of India in an emergency situation when inter-bank liquidity dries up completely. Banks borrow from the central bank by pledging government securities at a rate higher than the repo rate under liquidity adjustment facility (LAF). The MSF rate is pegged 100 basis points or a percentage point above the repo rate. Under MSF, banks can borrow funds up to one percentage of their net demand and time liabilities (NDTL).
Which of the following bodies is responsible for regulating financial services in the IFSCs?
Which of the following is responsible for the implementation of the Solar Chakra Mission? Â
What do Asset Reconstruction Companies do with financial assets?
What is the classification for an asset that has remained NPA for a period of less than or equal to 12 months according to the RBI’s IRAC guidelines? ...
Which of the following is most likely a sign of a good corporate governance structure?
A.The chief executive position is separate from the chairp...
As per the RBI regulations, the maximum term loan sanction permitted for Aadhaar OTP-based e-KYC accounts is _______
What is the portal on which an entity needs to register as an MSME? Â
Which type of insurance policy provides coverage for a specific period of time?
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What financial services are offered by GFCs?
Risk faced by financial institutions in which advancement of technology does not produce savings in cost is known as _____
