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Question

Which of the following measures of credit control requires a well-developed money market?

The correct answer is

Open market operations

Open market operations (OMO) refer to the buying and selling of government securities in the open market by the central bank to control liquidity. A well-developed money market is necessary for effective implementation of OMOs.

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Important Questions from Banking Affairs

  1. Who has been appointed as the new Chairman and Managing Director of SIDBI, in April 2021?

  2. What is the picture on the reverse side of the new 2000 rupee note of the Mahatma Gandhi (New) series?

  3. As per the provisions of Union Budget 2021-22, how many public sector banks have been lined up for disinvestment?

  4. Which country has the largest number of bank branches in the world?

  5. Which bank's tag line is, "Badhti ka nam Zindagi."?

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