A rule specifying the minimum percentage of deposits that must be held in currency or other safe, liquid assets is called a?
Lecturer Economics Past Papers and Syllabus / All — Multiple-choice practice
وہ اصول جس کے مطابق بینکوں کو اپنی جمع شدہ رقوم کا ایک مخصوص حصہ نقد یا محفوظ اثاثوں کی صورت میں رکھنا لازمی ہو، اسے کیا کہتے ہیں؟
- A. Reserve requirement
- B. Deposit requirement
- C. Lending requirement
- D. None of these
Correct answer
Reserve requirement
Explanation
Explanation Banks are required to keep a portion of deposits as safe reserves . This ensures financial stability and customer withdrawals. Central banks set this requirement as a monetary policy tool. It is called the reserve requirement . Last verified on 22-04-2026
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