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Discussion

Which among the following is correct about Sterlization:

  • A.Sterlization means re-cycling of foreign capital inflows to prevent appreciation of domestic currency and to check the inflationary impact of such capital
  • B.Sterlization is carried out through open market operations. 
  • C.To reduce the hurdles for implementation of sterlization, RBI uses a variety of other measures to manage interest rates.
  • D.All of the Above

Answer: D

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