How crr and slr affects credit creation
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Adjusting CRR and SLR can help to bring back the economy to the desired state.
In the case of inflation Central Bank will increase CRR. As CRR is increased banks will have to keep more of their funds with Central Bank.
So less amount of funds will be available to the banks for credit creation(granting loan)
[I hope help ❤️✌️
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