The Repo Rate is defined as the rate at which:

ACommercial banks lend money to retail customers

BThe Central Bank borrows funds from commercial banks

CThe Central Bank lends short-term money to commercial banks against collateral

DGovernments borrow money from foreign international funds

Explanation

Repo (Repurchase) rate is the key policy interest rate charged by central banks on short-term loans to commercial banks.

Submitted by: mcqstutor Team More Economics MCQs →