top button
Flag Notify
    Connect to us
      Site Registration

Site Registration

What is the difference between bank rate and repo rate?

+2 votes
537 views
What is the difference between bank rate and repo rate?
posted Mar 18, 2015 by anonymous

Share this question
Facebook Share Button Twitter Share Button LinkedIn Share Button

1 Answer

+2 votes

Repo rate is the rate at which the central bank of a country (RBI in case of India) lends money to commercial banks in the event of any shortfall of funds.

Bank rate, also referred to as the discount rate in American English, is the rate of interest which a central bank charges on the loans and advances to a commercial bank.

answer Mar 19, 2015 by Manikandan J
...