Question

instruments of credit control?
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Answer 1

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Instruments of credit control.

Method of credit control.

Quantitative or traditional methods of credit control include banks rate policy, open market operations and variable reserve ratio. Qualitative or selective methods of credit control include regulation of margin requirement, credit rationing, regulation of consumer credit and direct action.

Objectives of credit control.

Objectives of credit control. Ensure an adequate level of liquidity enough to attain high economic growth rate along with maximum utilisation of resource but without generating high inflationary pressure. Attain stability in the exchange rate and money market of the country.

Answer 2

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Instruments of credit control.Method of credit control. Quantitative or traditional methods of credit control include banks rate policy, open market operations and variable reserve ratio. Qualitative or selective methods of credit control include regulation of margin requirement, credit rationing, regulation of consumer credit and direct action.Objectives of credit control.Objectives of credit control. Ensure an adequate level of liquidity enough to attain high economic growth rate along with maximum utilisation of resource but without generating high inflationary pressure. Attain stability in the exchange rate and money market of the country.