Given below are two statements: Statement I: Repo rate is the rate of interest at which commercial banks borrow short-term funds from the RBI. Statement II: Reverse Repo rate is the rate of interest that commercial banks receive when they park their surplus funds with the RBI. In the light of the above statements, choose the most appropriate answer:

Question

Economics · Monetary Policy

Verified Solution4 OptionsUpdated: October 2026👁️1 View

Share:

Correct answer

Both Statement I and Statement II are correct

Save this question and verified answer as a clean study sheet with live clickable link.

👥

Challenge your peer aspirants on WhatsApp or Telegram to solve this question!

Online Test Series

Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.

Chapter Practice

Want more practice questions on Monetary Policy?

Solve complete topic-wise tests with detailed solutions on GkGet.

Recommended practice questions in Economics · Monetary Policy

Who among the following founded the 'Forward Bloc'?

Which of the following statements regarding the Harappan Civilization is NOT correct?

Which ruler is generally credited with unifying much of Northern India under a single empire for the first time?

Answer 1

Statement I is incorrect but Statement II is correct

Answer 2

Statement I is correct but Statement II is incorrect

Answer 3

Both Statement I and Statement II are incorrect

Answer 4

Both Statement I and Statement II are correct

Related Practice Questions