a good ppt for those who need details

1. QUALITATIVE MEASURES OF
MONETARY POLICY

2. MARGINAL REQUIREMENT
It is defined as the difference between the
value of security and the amount
borrowed against that security .RBI can
fix the marginal requirement for different
uses such that credit is diverted into
essential sectors

3. MORAL SUASION
It means suasion on moral
ground with no force implied

4. DIRECT ACTION
This method is adopted when a commercial bank does not co-operate the
central bank in achieving its desirable objectives. Direct action may
take any of the following forms:
Central banks may charge a penal rate of interest over and above the bank
rate upon the defaulting banks;
Central bank may refuse to rediscount the bills of those banks which are
not following its directives;
Central bank may refuse to grant further accommodation to those banks
whose borrowings are in excess of their capital and reserves