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Rupee’s surge may push RBI to use rare cash tool

Rupee’s surge may push RBI to use rare cash tool

Monday, March 20, 2017, 10:06 AM

The RBI may consider raising the cash reserve ratio for the first time since 2010 if deposits accumulated due to November’s cash ban don’t flee over the coming months, economists say. Banks are holding a near-record Rs 5 trillion ($76 billion) of surplus cash, according to the Bloomberg Intelligence India Banking Liquidity Index.
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