Solved UPSC CDS/OTA Question
A solved UPSC CDS/OTA PYQ - decoded step-by-step.
Solve it the standard way once - then learn the shortcut.
Q · RBI and Its PoliciesMedium · 45s
Which of the following is true about the Repo Rate?
TopicRBI and Its Policies
Question Typemultiple choice
DifficultyMedium
Marking+1 / −0.33
Test Duration30 min
Step-by-Step Solution
The complete worked solution.
Every step explained - no skipped algebra.
Repo rate is the interest rate at which RBI lends to banks. Higher repo rate makes borrowing costlier, reducing bank borrowing and credit flow.
Final Answer: Option C - Both A and B