Statutory liquidity ratio (SLR) is a tool used by RBI to control the expansion of bank’s credit and inflation in the economy. Which of the following statements reflect the impact on economy in the case of an increased SLR?nI. Banks will have access liquiditynII. It may curb the inflationnIII. It will reduce the bank’s credit capacity

Statutory liquidity ratio (SLR) is a tool used by RBI to control the e

1.	Statutory liquidity ratio (SLR) is a tool used by RBI to control the expansion of bank’s credit and inflation in the economy. Which of the following statements reflect the impact on economy in the case of an increased SLR?nI. Banks will have access liquiditynII. It may curb the inflationnIII. It will reduce the bank’s credit capacity
A.	Only I
B.	Only II
C.	Only II and III
D.	I, II and III
Answer» D. I, II and III