Money and Banking

CRAR– Capital to Risk-weighted Asset Ratio The capital adequacy ratio (CAR) is an estimation of a bank’s available capital expressed as a percentage of a bank’s risk-weighted credit exposures. CRAR is used to protect the interest of depositors and promote the stability and efficiency of financial systems  What is CRAR?  CRAR is a financial ratio […]

Introduction A Nostro account refers to an account that a bank holds in a foreign currency in another bank. . This type of account allows businesses to easily manage their money when doing international transactions. For example, if your business sells products or services in other countries, you will need to have a Nostro account

The Reserve Bank of India has made it essential for all banks to keep a portion of their deposits in cash to distribute it to customers in an emergency. The Cash Reserve Ratio is the ratio of the percentage of cash required to be retained as a reserve to the bank’s total deposits in the

Expenditure without thought and proper planning can lead to the destruction of a country’s economy, no matter how good its revenue is. Therefore, it is essential that the government of a country carefully thinks through all financial activities and plans out all the measures to ensure that the budget it has is not laid to