Incremental Cash Reserve Ratio (ICRR)

On 10th August, 2023, the Reserve Bank of India (RBI) asked banks to maintain an incremental Cash Reserve Ratio (ICRR) of 10 per cent on the increase in net demand and time liabilities (NDTL) of banks between May 19 and July 28, 2023.

The move aims to manage the higher surplus liquidity sloshing about in the economy following the return of Rs. 2,000 notes to the banking system (after they were withdrawn from circulation).

  • Banks are mandated to maintain a certain proportion of their deposits and specific liabilities as liquid cash with the RBI, which is called as Cash Reserve Ratio ....
Do You Want to Read More?
Subscribe Now
To get access to detailed content
Buy October 2023 Issue

Already a Member? Login here

Take Annual Subscription and get the following Advantage
The annual members of the Civil Services Chronicle can read the monthly content of the magazine as well as the Chronicle magazine archives.
Readers can study all the material before the last six months of the Civil Services Chronicle monthly issue in the form of Chronicle magazine archives.
Be an Annual Subscriber

Related Content

Economy Watch