Paper I · 6 Indian Economy & Planning · 6.2.1 Money and monetary policy

6.2.1.4 Monetary policy tools: CRR, SLR, bank rate, open market operations and qualitative controls

RBI changes the cost and amount of credit through quantitative tools (CRR, SLR, bank rate, OMO) and qualitative tools (margin, moral suasion, selective controls).

  • APPSC Paper I · Paper I
  • Advanced level
  • 6 min read
  • Full course

Key terms

  • CRR
  • SLR
  • bank rate
  • open market operations
  • margin requirement
  • moral suasion
  • selective credit control
  • incremental CRR
  • NDTL

What this note covers

  1. Core factsFoundation
  2. ExplainedStandard
  3. DeeperAdvanced
  4. Mains writingMains writing
  5. Common trapsFoundation
  6. Quick revisionFoundation

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