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What are commerical banks ?...

What are commerical banks ?

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Commerical banks are the institutions which performm the functions of accepting deposits granting loans and making investments with the aim of making profits
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Similar Questions

Explore conceptually related problems

What is a commercial bank?

Currency is issued by the central bank, yet we say that commerical banks create money. Explain. How is this money creation by commerical banks likely to affect the national income? Explain.

Knowledge Check

  • Statement: Exporters in the capital are alleging that commerical banks are violating a Reserve Bank of India directive to operate a post shipment export credit denominated in foreign currency at international rates from January this year. Courses of Action I. The officers concerned in the commercial banks are to be suspended. II. The RBI should be asked to stop giving such directives to commercial bank.

    A
    If only I follows
    B
    if only II follows
    C
    if either I or II follows
    D
    if neither I nor II follow

    • Similar Questions

    Explore conceptually related problems

    If total deposits created by commerical banks are 40000 crore and initial deposit was 4000 crore what will be deposit/money multiplier and LRR?

    Increase in cash reserve ratio adversely affects the capacity of commerical banks to create credit.

    Calculate and show the working of money creation by commerical banks if (i) Primary deposit is 1250 crore and LRR is 10%

    In a particlualr year ,RBI instructed the commerical banks not to advance loans to people whose annual income is above 6 lakh .Is it justified ? Why?

    Mention one main difference between a central bank and commerical bank

    Money supply includes demand deposits of the pople with the commerical banks.

    What are the functions of a commerical bank?

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