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| Topic: |
Business
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| Number of pages / Number of words: |
4 / 942 |
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This ratio was used to neutralise the financial impact of the Government's budgetary operations rather than as
an independent monetary instrument.
Post-Reform (Post 1992)
With the initiation of financial sector reforms, the emphasis was placed on the development and deepening of money, government securities and forex markets, and an effort was made to move away from the use of direct instruments of monetary control to indirect measures such as open market operations and market-related interest rates...
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In order to improve short-term liquidity and encourage it's efficient management, interbank participation certificates, certificates of deposit (CDs) and commercial paper (CP) were introduced. The Discount and Finance House of India (DFHI) was set up to promote a secondary market in a range of money market instruments...
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