What are the components of LRR?

Legal Reserve Ratio (LRR) is a certain minimum fraction of deposits which is legally compulsory for the banks to keep as cash. The two components of LRR are Cash Reserve Ratio (CRR) and Statutory Liquidity Ratio (SLR). This topic is extensively covered in our study material. 

To get details of the same, follow the below link, then go to Macroeconomics chapter-3(Money and Banking) Topic-3(Functions of Reserve Bank of India and Instruments of Monetary Policy).


  • 3
What are you looking for?