Which one of the following is not an instrument of credit control in India?
Variable cost reserve ratios
The RBI's instruments of credit control fall under quantitative tools (Bank Rate, Open Market Operations, CRR, SLR, Repo/Reverse Repo) and qualitative tools (Rationing of Credit, Margin Requirements, Moral Suasion, Direct Action).
Rationing of credit, Direct Action and Open Market Operations are all standard instruments. The phrase "Variable cost reserve ratios" is not a recognised tool — the correct term is Variable Reserve Ratio (i.e., CRR/SLR), with no element of "cost". Hence it is the odd one out.
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