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- Legal Reserve Ratio (LRR) and Cash Reserve Ratio (CRR) are both ratios that refer to the minimum fraction of deposits which banks are mandated to keep as cash1234. The LRR has two components: CRR and Statutory Liquidity Ratio (SLR)3. CRR refers to the cash reserves of commercial banks with the central bank as a percentage of their deposits134. The LRR refers to the total percentage of deposits which commercial banks keep as cash with themselves124.Learn more:✕This summary was generated using AI based on multiple online sources. To view the original source information, use the "Learn more" links.Legal reserve ratio refers to the minimum fraction of deposits which the banks are mandated to keep as cash themselves. The legal reserve ratio is fixed by central bank. Legal Reserve Ratio has two components: Cash Reserve Ratio (CRR)-It refers to the cash reserves of Commercial Banks with the Central Bank as a percentage of their deposits.www.toppr.com/ask/question/what-is-legal-reserve …What is the difference between CRR and LRR? Create refers to cash reserve ratio which means total percentage of deposits of commercial banks with central banks. whereas lrr refers to total percentage of deposits in which commercial banks kept itself. known as legal reserve ratio.edurev.in/question/323908/What-is-the-difference-…CRR is the cash reserve ratio and LRR is the legal reserve ratio. LRR has 2 parts one CRR and SLR ie statuitary liquidity ratio. the minimum fraction that commercial bank keeps with the central bank from the deposit as cash is known as LRR. the part that is to be kept with the central bank is known as CRR.edurev.in/question/849338/What-is-CRR-and-LRR--LRR (Legal Reserve Ratio) refers to that legal minimum fraction of deposits which the banks are mandate to keep as cash with themselves. Cash Reserve Ratio (CRR)-It refers to cash reserves of Commercial Banks with the Central Bank as a percentage of their deposits.mycbseguide.com/questions/711233/
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What is Legal Reserve Ratio? Explain its components. - BYJU'S
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