Question

How much amount of the deposits is kept as cash by the banks and why? ​

Answer 1

According to CRR, 4% of the Bank deposit is kept as cash reserve for daily transactions in Indian bank. Explanation: Cash Reserve Ratio suggests that Indian banks should require possessing a specific proportion of money deposits in the form of cash.

Answer 2

Answer:

According to CRR, 4% of the Bank deposit is kept as cash reserve for daily transactions in Indian bank.

Explanation:

Cash Reserve Ratio suggests that Indian banks should require possessing a specific proportion of money deposits in the form of cash...