what is repo rate?
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Answer / abhishek kumar adil
IT IS THE RATE AT WHICH THE COMMERCIAL BANK BORROW MONEY
From RBI atthe time of shortage
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Answer / durga lal
repo rate is rate at which rbi lends money to the bank at
certain rate of intrest. and it is fixed by rbi.now repo
rate is 7.5%.
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Answer / abhay kumar
Repo rate is the interest rate at which RBI lends money or
securities to other banks. Currently the RBI has increased
the reporate from 7.75% to 8%. the main reason for the hike
is to control the current inflation in our country, which
is now 8.24% and it is expecyed to cross 10%,by several
economist.
Repo rate is a rate on which rbi lend omney to the
commercial bank and take securities from there.
reverse repo rate is the rate at which rbi taking out money
from the bank and return the bank security to the bank it
is also decided by rbi itself.
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Answer / ramakrishnan
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.
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Answer / raj
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.Whenever the
banks have any shortage of funds they can borrow it from
RBI.
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Answer / sandeep singh
THE RATE AT WHICH RBI REPURCHASES GOURNMENT SECURITIES FROM
BANKS. IN RETUREN, BANKS GET CASH TO MEET THEIR SHORT TERM
REQUIRMENTS. WHEN RBI WANTS TO INCREASE LIQUDITY IN THE
SYTEM,IT REDUCES THE REPO RATE.
BY_
SANDEEP SINGH
UNIVERSITY OF ALLAHABAD
E-MAILID
1-sandip.au2008@gmail.com
2- sandip.au2005@radiff.com
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Answer / sandeep singh
the rate at which RBI repurchase gouenment securities from
banks . returen ,banks get cash to meet their short term
requirments. when RBI wants to increase liqudity in the
system, it reduces the rwpo rate.
BY-
SANDEEP SINGH
E-Mail id-sandip.au2008@gmail.com
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Answer / priti
discount rate at which a central bank repurchases
government securities from the commercial banks,depending
on the levelof money supply it decided to maintain in the
country's monetory system
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Answer / nipun
MANY OF THE ANSWERS HERE ARE WRONG
correct version:
repo stands for REPurchase Offer where rbi borrows
money/cash from the bank and in turn give the bank
securities which act as collateral and also pay it back
interest on the cash it has taken as loan. it is called
repurchase offer because RBI will in return buy back the
collateral after specified period.
higher the repo higher the lending rate for bank and hence
even higher the borrowing rate for bank. thus it takes
liquidity out of the market , if liquidity has caused
inflation it will also reduce inflation
reverse repo is opposite
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When ever banks need funds they can borrow money from RBI
and RBI lends this fund on certain rate of interest.this
rate of interest is called REPO RATE.
--
rohitash.shrm@gmail.com
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