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NDA 2018 GAT · General Knowledge · Indian Economy · hard

The rate at which the Reserve Bank of India lends short-term funds to commercial banks is called the

Single correct option

The rate at which the Reserve Bank of India lends short-term funds to commercial banks is called the
  1. A. Reverse repo rate
  2. B. Bank deposit rate
  3. C. Cash reserve ratio
  4. D. Repo rate
Show answer and solution

Answer: (D) Repo rate

Repo rate is the rate at which the RBI lends to banks against government securities. Reverse repo is the rate at which it borrows from banks, and CRR is the share of deposits banks keep with the RBI.
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Original question written in the NDA 2018 GAT pattern and checked twice for the correct answer. Not an official question paper. How we write and check questions · Corrections policy · Report a mistake