The Cash Reserve Ratio (CRR) is the share of deposits that banks must keep

Indian Economy and Banking · Economic & Social Development · Hard · Practice for UPSC CSE GS 1

The Cash Reserve Ratio (CRR) is the share of deposits that banks must keep

With the RBI as cash
With the Finance Ministry
In gold and government securities with themselves
As loans to priority sectors

Answer and solution

Correct answer: A) With the RBI as cash

SLR assets are held by the banks themselves.

Learn the method: Indian Economy and Banking rules and worked examples · UPSC CSE GS 1 Economic & Social Development

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