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SSC Multi Tasking Model Paper 5
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© examsnet.com
Question : 111
Total: 148
An indirect instrument of monetary policy is -
Bank rate
Cash reserve ratio
Oper market operations
Statutory liquidity ratio
Validate
Solution:
The Central Bank employs a range of both direct and indirect instruments to effect monetary policy.The indirect or market based instruments largely comprise open market operations and the use of apolicy interest rate- the 'Repo' rate.
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