What is a Repo Rate?
Repo Rate
Whenever the banks have any shortage of funds they can borrow it from RBI. Repo rate is the rate at which our banks borrow rupees from RBI. A reduction in the repo rate will help banks to get money at a cheaper rate. When the repo rate increases borrowing from RBI becomes more expensive.
The repo rate, often referred to as the short term lending rate, is the interest charged by the central bank on borrowings by commercial banks.
Repo rate is the interest rate at which the reserve bank of India lends mney to other banks.
What is a Reverse repo Rate?
Reverse repo Rate:
Reverse repo rate is return banks earn on excess funds parked with the central bank against Government securities. The reverse repo rate, referred to as the short term borrowing rate, is the rate at which the central bank borrows money from commercial banks.
Repo Rate
Whenever the banks have any shortage of funds they can borrow it from RBI. Repo rate is the rate at which our banks borrow rupees from RBI. A reduction in the repo rate will help banks to get money at a cheaper rate. When the repo rate increases borrowing from RBI becomes more expensive.
The repo rate, often referred to as the short term lending rate, is the interest charged by the central bank on borrowings by commercial banks.
Repo rate is the interest rate at which the reserve bank of India lends mney to other banks.
What is a Reverse repo Rate?
Reverse repo Rate:
Reverse repo rate is return banks earn on excess funds parked with the central bank against Government securities. The reverse repo rate, referred to as the short term borrowing rate, is the rate at which the central bank borrows money from commercial banks.
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