Repo Rate is the rate at which:
Options
ARBI lends to banks
BBanks lend to RBI
CBanks lend to customers
DRBI lends to Government
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Money MarketPYQ - May 2019 (Inter)Question 143 of 20
All Questions Correct Answer
✅ Option a — RBI lends to banks
All Options:
- ARBI lends to banks
- BBanks lend to RBI
- CBanks lend to customers
- DRBI lends to Government
About This Chapter: Money Market
Paper
Paper 4: Business Economics
Weightage
10%
Key Topics
Money Demand/Supply, Monetary Policy
This chapter covers the monetary system — how money circulates in the economy. Topics include Demand for Money, Supply of Money, Monetary Policy instruments (Repo Rate, CRR, SLR, Open Market Operations), and the role of the Reserve Bank of India in controlling inflation and managing the economy.
View Official ICAI SyllabusExam Strategy Tip
Memorize the RBI's monetary policy instruments and their impacts. Questions often ask about the effect of changing CRR or Repo Rate on money supply.
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