Banking
What is CRR (Cash Reserve Ratio)? — Meaning, Definition & Example
Definition
CRR is the percentage of total deposits that banks must keep as cash reserves with RBI. It is a monetary policy tool to control liquidity. Banks do not earn interest on CRR deposits. Increasing CRR reduces money supply in the economy.
💡 Real Example
If CRR is 4.5% and a bank has ₹1,000 crore in deposits, it must keep ₹45 crore with RBI as cash reserves.
🇮🇳 CRR (Cash Reserve Ratio) in Hindi / हिंदी में
CRR (कैश रिजर्व रेशियो) — CRR कुल जमा का वह प्रतिशत है जो बैंकों को RBI के पास नकद भंडार के रूप में रखना होता है।
CRR (Cash Reserve Ratio) (Hinglish) — CRR wo percentage hai jo banks ko apne total deposits ka RBI ke paas cash reserves ke roop mein rakhna padta hai. Ye liquidity control karne ka tool hai.
❓ Frequently Asked Questions
What is CRR (Cash Reserve Ratio) in simple words?
CRR is the percentage of total deposits that banks must keep as cash reserves with RBI. It is a monetary policy tool to control liquidity. Banks do not earn interest on CRR deposits. Increasing CRR reduces money supply in the economy.
Can you give an example of CRR (Cash Reserve Ratio)?
If CRR is 4.5% and a bank has ₹1,000 crore in deposits, it must keep ₹45 crore with RBI as cash reserves.
What is CRR (Cash Reserve Ratio) meaning in Hindi?
In Hindi, CRR (Cash Reserve Ratio) is called CRR (कैश रिजर्व रेशियो). CRR कुल जमा का वह प्रतिशत है जो बैंकों को RBI के पास नकद भंडार के रूप में रखना होता है।