1. #1
    Unregistered Guest

    Details about Cash Reserve Ratio?

    what is cash reserve ratio. Please tell me as soon as possible.

  2. #2
    Sethitarun19 is offline Junior Member
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    Re: Details about Cash Reserve Ratio?

    CRR is the percentage (%) of the total deposits of a nationalized bank, which that bank has to keep liquid(cash) ever in the bank

  3. #3
    sumansin is offline Senior Member
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    Re: Details about Cash Reserve Ratio?

    Cash Reserve Ratio:-

    Cash Reserve Ratio is a bank regulation that sets the minimum reserves each bank must hold to customer deposits and notes.

    These reserves are designed to satisfy withdrawal demands, and would normally be in the form of fiat currency stored in a bank vault (vault cash), or with a central bank.

    The reserve ratio is sometimes used as a tool in monetary policy, influencing the country’s economy, borrowing, and interest rates.

    Cash reserve Ratio (CRR) in India is the amount of funds that the banks have to keep with RBI. If RBI decides to increase the percent of this, the available amount with the banks comes down. RBI is using this method (increase of CRR rate), to drain out the excessive money from the banks.

  4. #4
    T.AparnaReddy is offline Junior Member
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    Re: Details about Cash Reserve Ratio?

    Hai Friend..,





    -->>> CRR ( Cash Reserve Ratio) :--

    >> CRR was introduced in 1950 primarily as a measure to ensure safety and liquidity of bank deposits, however over the years it has become an important and effective tool for directly regulating the lending capacity of banks and controlling the money supply in the economy.

    >> When the RBI feels that the money supply is increasing and causing an upward pressure on inflation, the RBI has the option of increasing the CRR thereby reducing the deposits available with banks to make loans and hence reducing the money supply and inflation.

    >> Cash reserve Ratio (CRR) in India is the amount of funds that the banks have to keep with RBI. If RBI decides to increase the percent of this, the available amount with the banks comes down. RBI is using this method (increase of CRR rate), to drain out the excessive money from the banks.

    >> I Have Attached a file about CCR.,You get the more information in that File.,Please go through that..,

    >> The Following Links helps you to know about the CRR...

    http://stockthoughts.wordpress.com/2...ke-impact-you/

    http://www.daytradingshares.com/quic...rve_ratio.html





    ..........GOOD LUCK........
    Attached Files

  5. #5
    Sethitarun19 is offline Junior Member
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    Re: Details about Cash Reserve Ratio?

    CRR is the percentage of the cash availability in any of the nationalized bank everytime of the total deposits of the bank.

  6. #6
    Unregistered Guest

    Re: Details about Cash Reserve Ratio?

    is crr applicable to all banks or only scheduled banks?

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