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Which one of the following is not a qualitative control of credit by the Central Bank of a country ?
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- Rationing of credit
- Regulation of consumer credit
- Variation of margin requierments.
- Regulation of margin requirements .
- Rationing of credit
Correct Option: C
Qualitative credit (used by the RBI for selective purposes) are: Margin requirements, Consumer Credit Regulation, RBI Guidelines, Rationing of credit, Moral Suasion and Direct Action. The Quantitative Credit measures which control the total quantity of credit are: Bank Rate policy, Open Market Operations, Cash Reserve Ratio and Statutory Liquidity Ratio.
