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Commerce · Q22

Economics

Graduate and Post Graduate · Commerce · question 22

Q22

____ is the official minimum rate at which the Central Bank of a country is prepared to rediscount approved bills held by the commercial banks

A.
Repo rate
B.
Bank rate
Answer
C.
Prime lending rate
D.
Reverse repo rate

Answer: Option B

Solution

Answer: Option B
Solution:
Bank rate is the official minimum rate at which the Central Bank of a country is prepared to rediscount approved bills held by the commercial banks.