What are the sources of financing deficit ?
Hey Sandeep,
The sources of financing deficit are as follows:
1. Borrowing from the public, central bank (RBI in case of India), government of other countries or from international monetary institutions (such as the World Bank, IMF, etc.)
2. Printing of new currency notes
3. Drawing down the reserves fund of the government
The sources of financing deficit are as follows:
1. Borrowing from the public, central bank (RBI in case of India), government of other countries or from international monetary institutions (such as the World Bank, IMF, etc.)
2. Printing of new currency notes
3. Drawing down the reserves fund of the government