wht is the term SLR?
Sherin Chacko
(CA)
(53 Points)
Replied 02 March 2009
Statutory Liquidity Ratio.
Every bank is required to maintain, on daily basis, liquid assets to the extent of 24 per cent of its demand and time liabilities in India.
triumph-CMA
(Chartered Accountant)
(503 Points)
Replied 03 March 2009
SLR means Statutory Liquidity Ratio. The commercial banks are required to keep a certain % of their total demand and time liabilities invested in the form of liquid assets such as easily marketeable securities etc. At present it is 24.0%. It is determined by the RBI and is a very important tool of monetary policy
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