While getting rid of the 14 day fixed repo the RBI said it will operate a 14 day term repo reverse r...........

Economic and social issues (RBI) Monetary and fiscal policies

PASSAGE ON RBI’S LIQUIDITY MANAGEMENT FRAMEWORK

The Reserve Bank of India (RBI) adopted a new liquidity management framework in which there would be no fixed daily liquidity injection operations, but the central bank would act whenever the banking system requires money. The ______ will remain the operating target of the monetary policy, the RBI said, which means it will ensure enough liquidity to anchor the call rate at around the repo rate.

While getting rid of the 14 day fixed repo, the RBI said it will operate a 14-day term repo/reverse repo operation at a variable rate that would be conducted to coincide with the……… maintenance cycle: (2 marks)

This questions was previously asked in

RBI Grade B Phase 2 Exam (2021)

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Statutory Liquidity Ratio

Cash Reserve Ratio

Cash Deposit Ratio

Credit-Deposit Ratio

None of the above

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