Examveda
Examveda

Which one is NOT true regarding the Market Stabilization Scheme (MSS)?

A. It absorbs surplus liquidity of enduring nature arising out of large capital flows

B. It absorbs surplus liquidity through sale of short-dated government securities and treasury bills

C. Mobilised surplus liquidity is held in the MSS account with the Reserve Bank of India

D. MSS account liquidity can be used for normal government expenditure of capital nature

Answer: Option D


This Question Belongs to Commerce >> Banking And Financial Institutions

Join The Discussion

Related Questions on Banking and Financial Institutions