Call to abolish statutory liquidity ratio for banks
after close1 source ↓written by the desknot a recommendation
- currently set
- 18%
A prominent analyst has urged the RBI to abolish the statutory liquidity ratio (SLR), currently set at 18%, which mandates banks to hold assets in gold or government bonds. This move is seen as essential for modernizing India's monetary system and fostering economic growth. A phased approach over five years is suggested to mitigate political backlash.
Not investment advice. For informational purposes only.