The full form of SLR is Statutory Liquidity Ratio. The Reserve Requirement, or SLR, is a term used by the Indian government to refer to the requirement that commercial banks have authorised security in the form of cash, gold reserves, or RBI (Reserve Bank of India) before extending credit to customers. In essence, it is the reserve requirement that banks must hold onto before extending credit to customers.
- The RBI determines the required Statutory Liquidity Ratio for financial institutions to maintain to control expansion.
- The SLR is assessed as a proportion of time commitments and quantity requested.
- Demand liabilities pertain to deposit accounts that are repayable on demand, while term obligations are those that commercial banks must repay to consumers after a reasonable time.
- A fixed deposit for 11 months that is only redeemable after 11 months illustrates a time liability.
- A client-maintained, payable assurance in the form of a savings or current account is an example of a demanding responsibility.
- The SLR is typically used to track inflation by altering the amount of money available.
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2. Single Lens Reflex is another name for SLR. It is utilised in high-quality cameras. The SLR uses automatic moving mirror technology to allow photographers to see precisely what the film or digital photography equipment can capture. It employs a system of mirrors and prisms to see precisely what has to be recorded. Typically, a DSLR camera is used to describe it.
- The ability to adjust the lens to obtain the desired photos is the SLR camera’s most significant advantage over the competition.
- The SLR camera’s major flaw is that it is bulkier and more expensive than other cameras. It costs more than a point-and-shoot camera.