A proportion of the total deposits and reserves of the commercial banks that is to be kept with the Central Bank (RBI) on liquid form as a measure of control of RBI over the Commercial Banks is known as:

A. Bank rate

B. Statutory Liquidity Ratio (SLR)

C. Cash Reserve Ratio (CRR)

D. Mandatory deposit

Answer: Option C

Solution(By Examveda Team)

A proportion of the total deposits and reserves of the commercial banks that is to be kept with the Central Bank (RBI) on liquid form as a measure of control of RBI over the Commercial Banks is known as Cash Reserve Ratio (CRR).