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Identify the quantitative tools used by RBI to control money supply.

(A) Moral Suasion

(B) Bank Rate

(C) Cash Reserve Ratio

(D) Open Market Operations

(E) Margin requirement

Choose the correct answer from the options given below :

Solution

Correct Option: 2

Quantitative tools of RBI include Bank Rate, Cash Reserve Ratio (CRR), Statutory Liquidity Ratio (SLR), Repo Rate, and Open Market Operations. Moral Suasion and Margin Requirement are qualitative tools. Hence B, C, and D are quantitative.

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