Use coupon code TOP15 on all courses

Link

Current Affairs

Rs 50,000 crore Liquidity for Mutual Funds by RBI

Current Context: Reserve Bank of India has come up with an announcement to provide easiness to liquidity pressures on mutual funds (MFs) by granting Rs. 50,000 crore Special Liquidity Facility (SLF) for mutual funds.
Rs 50,000 crore Liquidity for Mutual Funds by RBI

  • This RBI's move comes after Franklin Templeton's decision to close 6 debt funds and put redemptions on hold indefinitely.
  • Under this scheme, the RBI will conduct repo operations of 90 days tenor at the fixed repo rate.
  • The funds availed under the scheme can be used by banks exclusively for meeting the liquidity requirements of MFs by extending loans, and undertaking the outright purchase of and/or repo against the collateral of investment-grade corporate bonds, commercial papers (CPS), debentures and certificates of Deposit (CDs) held by MFs.

Static Part:

  • Headquarters of RBI– Mumbai, Maharashtra
  • Governor of RBI – Shaktikanta Das
  • Deputy Governors of RBI– Bibhu Prasad Kanungo, Mahesh Kumar Jain, Michael Debabrata Patra

Question: 

Q.1 How much Special Liquidity Facility (SLF) for mutual funds has been granted reserve Bank of India? 
a. Rs.30,000 crore
b. Rs.60,000 crore
c. Rs.40,000 crore
d. Rs.50,000 crore
Rs 50,000 crore Liquidity for Mutual Funds by RBI Rs 50,000 crore Liquidity for Mutual Funds by RBI Reviewed by Neha Verma on April 27, 2020 Rating: 5

No comments:

Join 8,000+ readers and get free notes in your email