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Reported Question / Answer
Q.) As we all know the Bank Rate at present is fixed at 6%. What does it mean in context to the banking operations ?
1)
No bank will be able to give loan to any party on a rate lower than the Bank Rate
2)
Bank should give loan to their priority sector customers/borrowers at the rate of 6% only. They cannot charge less or more than this from their priority sector clients
3)
Banks are required to invest 6% of their total capital on financial inclusion and inclusive banking operations
4)
Banks will be required to give 6% of their total deposits to the Govt. of India for meeting its Balance of Trade requirements
5)
None of these
Answer :
1
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