Cash Reserve Ratio
It has been decided to increase the cash reserve ratio (CRR) of scheduled banks by 75 basis points from 5.0 per cent to 5.75 per cent of their net demand and time liabilities (NDTL)
As a result of the increase in the CRR, about Rs. 36,000 crore of excess liquidity will be absorbed from the system.
The Reserve Bank will continue to monitor macroeconomic conditions, particularly the price situation closely and take further action as warranted.
Presently, the SLR is 25% with effect from 7 November, 2009. It was raised from 24% in the RBI policy review on 27 October, 2009.