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Virat Bhati • 7.23K Points
Tutor III Economic 

Q. When the Reserve Bank of India reduces the Statutory Liquidity Ratio by 50 basis points, which of the following is likely to happen?

  • (A) Scheduled Commercial Banks may cut their lending rates
  • (B) It may drastically reduce the liquidity to the banking system
  • (C) India's GDP growth rate increases drastically
  • (D) Foreign Institutional Investors may bring more capital into our country
Correct Answer - Option(A)

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