[NeroASERCH]

Hello everyone, I want to know how the CRR and repo rate impact on our economy and how the bank impact from this? Do you think that cutting in CRR really help? Why particularly for bank cutting CRR is helpful?

[brraverishhh]

CRR is the amount of money that every bank should need to park with central bank. less will the CRR rate more will be the liquidity infusion in market that led to spur the economy .in the recent monetary revier RBI cut CRR rate and infuse Rs.18000 crore in market .this help to grew well our economy .

[9mm_fan]

Lowering in CRR help to infuse more liquidity and tend to reduce the lending rate .sector which are interest rate sensitive can benefited by this .lowering interest rate in loans could be further step taken by bank.

[Fegasderty]

Yes, of course it help .now banks can take cue and lend more .that will give a relief to buyers and boost demand .being seen India GDP almost stagnant at 5.8% it could be helped to utilize the boost in economy. This will definitely add some help.

[softy54534]

From past few decades bank are not able to do well due to high interest rate charge. Investor are more looking into mutual funds because they seem to be more profitable.