Money and banking

Indian Economic System

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Indian Economy - Understanding the basics of Indian economic system

The banks are required to maintain a certain ratio between their cash in hand and total assets. This ratio is known as :

This questions was previously asked in

CAPF 2023 Paper-1

Cash Reserve Ratio (CRR)

Statutory Liquidity Ratio (SLR )

Central Bank Reserve (CBR)

Statutory Bank Ratio (SBR)

Statutory Liquidity Ratio (SLR ).

Statutory Liquidity Ratio or SLR is a minimum percentage of deposits that a commercial bank has to maintain in the form of liquid cash, gold or other securities.
It is basically the reserve requirement that banks are expected to keep before offering credit to customers.