Quotes with Resistance & Support
Market Information

No respite for borrowers; RBI cuts CRR by 0.25%

This article was posted on Oct 30, 2012 and is filed under Market News

Mumbai: Acting cautiously, the Reserve Bank on Tuesday slashed the Cash Reserve Ratio (CRR) by 0.25 percent – the percentage of deposits banks keep with central bank – but refrained from reducing lending rates in view of high inflation.

Following the cut, CRR will now come down to 4.25 percent while the repo rate, at which the central bank lends to the banks, would remain unchanged at 8 percent.

The reverse repo, at which it absorbs excess liquidity through borrowings from banks, remains at 7 percent.

This reduction (in CRR from 4.5 percent to 4.25 percent) will inject around Rs.17,500 crore of primary liquidity into the banking system.

After announcing the cuts, the RBI said that government’s reform efforts are in the right path but added that immediate implementation and continued measures are needed to bring the economy back to growth path.

For more visit: Zeenews.com

Similar Posts:

Breakouts

+ve 30 DMA    50 DMA    150 DMA    200 DMA
-ve 30 DMA    50 DMA    150 DMA    200 DMA

Latest Query

Samrudhiglobal.com wishing you and your friends and family Advance xmas and Happy New year...view more »
- by Sam
Status: Awaiting reply

Market Stats

Search Our Archives

Latest Investment Idea

Recent Comments