Civil Services Prep

Prelims 2014 · Economy · Question 11

The terms 'Marginal Standing Facility Rate' and 'Net Demand and Time Liabilities', sometimes appearing in news, are used in relation to

  1. banking operations
  2. communications networking
  3. military strategies
  4. supply and demand of agricultural products

Answer

banking operations

  • (a) Banking operations: Correct. Marginal Standing Facility (MSF) Rate is an RBI policy rate under which scheduled banks borrow overnight funds; Net Demand and Time Liabilities (NDTL) is a banking liability measure used for CRR/SLR calculations.
  • (b) Communications networking: Incorrect. These are not telecom or data-networking terms.
  • (c) Military strategies: Incorrect. They belong to monetary/banking regulation, not defence strategy.
  • (d) Supply and demand of agricultural products: Incorrect. These terms are unrelated to agricultural market analysis.

Therefore, the correct answer is (a) banking operations.

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