Interested to Buy Any Domain ? << Click Here >> for more details...
Why REPO rate is being hiked to control Inflation ?
- 4 Answers
- 15623 Views
- GMR, I also Faced
- E-Mail Answers
Answer Posted / renuka
REPO RATE IS THE RATE AT WHICH CENTRAL BANK OF A COUNTRY LENDS LOANS TO COMMERCIAL BANKS.. BY HIKING THE REPO RATE THE COMMERCIAL BANKS WILL GET LOANS AT HIGHER INTEREST RATE FROM CENTRAL BANK AND THUS THEY WILL PROVIDE LOANS TO THEIR CUSTOMERS AT HIGH INTEREST RATE.. THIS WILL DECREASE THE FLOW OF MONEY IN THE MARKET AND PEOPLE WILL NOT BUY MORE PRODUCTS. THUS, THE DEMAND IN THE MARKET WILL DECREASE AND IT WOULD HELP IN CONTROLLING INFLATION..
| Is This Answer Correct ? | 1 Yes | 0 No |
Post New Answer View All Answers
What Is A Demat Account?
What do you know about direct and indirect taxes in India?
scope,significance of taxationin private company?
How can the analysis of financial statements be carried out?
What are NPA? How can they be reduced?
What help does effective marketing provide with?
What is the Difference between public sector and private sector banks?
What is promissory note (pn)?
What is Plastic Money?
Name Different Terms of Issue of Shares?
The rule of the Risk management provides a basic framework within which risk management decision can be made .Doscuss.
Explain what is the difference between equity financing and debt financing?
What are the various sources through which a company can meets its fund requirements?
What is the acronym of 'mibor'?
What is typically higher the cost of debt or the cost of equity?
