Question
Economics Question on Basic Banking Concepts
SLR is defined as :
A
Percentage of deposits which a bank must keep as cash reserves
B
Keeping some reserves in liquid form in the short term in bank
C
Reverse of cash reserve ratio in the short term
D
Buying or selling of bonds in the short term
Answer
Keeping some reserves in liquid form in the short term in bank
Explanation
Solution
The correct option is (B) :Keeping some reserves in liquid form in the short term in bank.