The Bank Rate is the rate at which the RBI lends money to commercial banks as a lender of last resort. By changing the Bank Rate, RBI influences the cost of borrowing for commercial banks and hence the money supply in the economy.
The RBI can influence money supply by changing __________ at which it gives loan to the commercial Banks.
Verified 13 Jul 2026.
Promissory Rate
Lending Rate
Fixed Rate
Bank Rate
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