In which year was the fixed rate repos in government securities was introduced to give maneuverability in liquidity management?
1997
Repo (repurchase agreement) operations are a key monetary-policy tool used by the Reserve Bank of India to manage liquidity in the banking system.
Fixed rate repos in government securities were introduced in the year 1997 to give the RBI greater maneuverability in liquidity management.
Hence 1997 is the correct answer.
Through repos, the RBI injects short-term liquidity by lending against government securities at a fixed interest rate.
This mechanism later evolved into the Liquidity Adjustment Facility (LAF), a cornerstone of modern liquidity operations.
The year 1995 is incorrect as fixed rate repos in government securities were not introduced then.
The years 1998 and 1996 are also wrong, being different from the actual year of introduction.
Fixed rate repos in government securities were introduced in 1997.
Similar Questions
The Banking Codes and Standards Board of India (BCSBI) was set up on 18th February _____.
Which of the following tax (now replaced by GST) was levied by Central government?
I. Entertainment tax
II. Entry tax
Which of the following is a report published by Reserve Bank of India?
I. Financial Stability Report
II. Handbook of Statistics on Indian Economy
Who took over as the Governor of the Reserve Bank of India in December 2024?
The Clearing Corporation of India Limited (CCIL) was established in ______.
Bharatiya Reserve Bank Note Mudran Limited established as a fully owned subsidary of the Reserve bank in the year ______.
The NSE introduced trading in Index Options (also based on Nifty 50) on June 4, _____.
In which year did the National Stock Exchange began its operations?
As per the Fiscal Responsibility and Budget Management Act-2003, which of the following is NOT laid before both the house of parliament along with Annual Financial statement?
The Kisan Credit Card (KCC) scheme was introduced in ______ for issue of Kisan Credit Cards to farmers on the basis of their holdings for uniform adoption by the banks.
Important Questions from Money and Banking
Which one of the following is likely to be the most inflationary in its effects?
Which one of the following effects of creation of black money in India has been the main cause of worry to the Government of India?
Consider the following statements :
The effect of devaluation of a currency is that it necessarily
1. improves the competitiveness of the domestic exports in the foreign markets
2. increase the foreign value of domestic currency
3. improves the trade balance
Which of the above statements is/are correct?
Indian Government Bond Yields are influenced by which of the following?
1. Actions of the United States Federal Reserve
2. Actions of the Reserve Bank of India
3. Inflation and short-term interest rates
Select the correct answer using the code given below.
With reference to “Urban Cooperative Banks" in India, consider the following statements :
1. They are supervised and regulated by local boards set up by the State Governments.
2. They can issue equity shares and preference shares.
3. They were brought under the purview of the Banking Regulation Act, 1949 through an Amendment in 1966
Which of the statements given above is/are correct?
