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    Question

    The Reserve Bank of India plans to implement a 5%

    run-off factor on digitally accessible retail deposits to manage what type of risk?
    A Liquidity risk Correct Answer Incorrect Answer
    B Cybersecurity risk Correct Answer Incorrect Answer
    C Inflationary risk Correct Answer Incorrect Answer
    D Capital risk Correct Answer Incorrect Answer
    E Exchange rate risk Correct Answer Incorrect Answer

    Solution

    The RBI plans to enforce a 5% run-off factor to mitigate liquidity risks arising from quick and heavy withdrawals through digital platforms.

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