Process of Monetary transmission by central bank is considered as one of the important parameter for growth of economy which among the following correctly explains the term ′ monetary transmission?
A. It refers to the process by which a central bank՚s monetary policy decisions are passed on, through financial markets, to businesses and households.
B. It refers to transfer of money from global institutions like World Bank to central banks of a country which are kept as reserves.
C. It refers to inter and intra bank transactions which are done to keep a minimum reserve to conform to Basel norms՚ stipulated by central bank
D. It refers to transfer of money from central bank to the Government for its programmes and policies for growth of country
Answer:A
Process of Monetary transmission by central bank is considered as one of the important parameter for growth of economy which among the following correctly explains the term ′ monetary transmission?
A. It refers to the process by which a central bank՚s monetary policy decisions are passed on, through financial markets, to businesses and households. B. It refers to transfer of money from global institutions like World Bank to central banks of a country which are kept as reserves. C. It refers to inter and intra bank transactions which are done to keep a minimum reserve to conform to Basel norms՚ stipulated by central bank D. It refers to transfer of money from central bank to the Government for its programmes and policies for growth of country