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Commerce · Q158

Banking and Financial Institutions

Graduate and Post Graduate · Commerce · question 158

Q158

What will be the impact on liquidity position, if Reverse Repo Rate is used actively by RBI?

A.
It will absorb liquidity from the system
Answer
B.
It will Inject liquidity in the system
C.
It will have no impact on liquidity position
D.
None of these

Answer: Option A

Solution

Answer: Option A
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