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Question No. 209Interactive Test Mode
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Q209. The banks are required to maintain a certain ratio between their cash in hand and total assets. This is called:

The banks are required to maintain a certain ratio between their cash in hand and total assets. This is called:

Select the correct option below (or cross out options to eliminate)

Official Answer Key & Detailed Solution

Ready to check the official UPSC Answer Key?

Click any option above to test yourself under exam conditions, or reveal the explanation directly.

Official UPSC Answer KeyUPSC Prelims 1998 • Indian Economy

Correct Answer: Option (B) — SLR (Statutory Liquid Ratio)

Concept & Option Breakdown

Standard Reference Verified

Statutory Liquidity Ratio (SLR) is the mandated reserve requirement that commercial banks in India are required to maintain in the form of liquid assets (such as cash, gold, or approved government securities) as a percentage of their Net Demand and Time Liabilities (NDTL).

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Question Specifications & Syllabus Mapping

Examination & YearUPSC Civil Services Preliminary Examination 1998 (Q209)
Paper & Marking SchemeGS Paper I • 2 Marks (-0.66 Negative for incorrect response)
Syllabus Subject & TopicIndian Economy → Banking & Financial System
Official Answer KeyOption (B) — SLR (Statutory Liquid Ratio)

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Frequently Asked Questions — UPSC Prelims 1998 Q209

What is the official answer for UPSC Prelims 1998 GS Paper I Question 209 (Indian Economy)?

The official UPSC answer key for this 1998 Indian Economy (Banking & Financial System) question is Option (B): "SLR (Statutory Liquid Ratio)". Correct attempts carry 2 Marks with -0.66 Negative penalty for wrong answers.

Which UPSC Prelims syllabus topic does this 1998 question belong to?

This question belongs to GS Paper I under the subject "Indian Economy" and micro-topic "Banking & Financial System". You can explore all repeated questions from Banking & Financial System in Acme AI's 3D Prelims PYQ Realm or practice 50 full-length and sectional tests in the APT Prelims Test Series.

How can I solve this Banking & Financial System UPSC Prelims question using option elimination?

To solve Banking & Financial System questions in UPSC Prelims, identify extreme modifiers, verify core NCERT conceptual definitions, and eliminate mutually contradictory statement pairs before locking your final option.

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