Repo Rate or ____ rate is the rate at which RBI lends money to commercial banks to meet their short-term needs
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Repo Rate or ____ rate is the rate at which RBI lends money to commercial banks to meet their short-term needs.
Anurag Pathak Changed status to publish December 19, 2023
The Repo Rate or Repurchase Rate is the rate at which RBI lends money to commercial banks to meet their short-term needs.
Explanation:-
The Rep Rate is also the Repurchase Rate as
Repo stands for ‘Repurchasing Option’ or ‘Repurchase Agreement’.
A repo rate is technically a repurchase agreement in which commercial banks offer securities such as Treasury Bills to the RBI in return for short-term funds.
The banks also agree to repurchase those securities at a predetermined price.
Anurag Pathak Changed status to publish December 19, 2023
