LAF is a monetary policy tool which allows banks to borrow money through repurchase agreements What ...........

LAF is a monetary policy tool which allows banks to borrow money through repurchase agreements. What is the meaning "F" in LAF?

Fundamental

Fund

Facility

Financial

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Explanation:

Liquidity adjustment facility (LAF) is a monetary policy tool which allows banks to borrow money through repurchase agreements. LAF is used to aid banks in adjusting the day to day mismatches in liquidity. LAF consists of repo and reverse repo operations.