BANKING-CRL

 Cash retention limit is  the amount of money a bank certain branch can keep overnight in order to carry on the morning day to day operations . This limit is only decided in the main branch of all banks usually by the higher management.

Maintenance of Cash Reserve Ratio (CRR)

Please refer to our Circular DBOD.No.Ret.BC.52/12.01.001/2012-13 dated October 30, 2012 on the captioned subject.

2. As set out in the Reserve Bank's Press Release 2012-2013/1267 dated  January 29, 2013, it has been decided to reduce the Cash Reserve Ratio (CRR) of Scheduled Commercial Banks by 25 basis points from 4.25 per cent to 4.00 per cent of their Net Demand and Time Liabilities (NDTL) with effect from the fortnight beginning  February 09, 2013. The Local Area Banks shall also maintain CRR at 3.00 per cent of its net demand and time liabilities upto February 08, 2013 and 4.00 per cent of its net demand and time liabilities from the fortnight beginning from February 09, 2013.

3. The copies of the relative notifications DBOD.No.Ret.BC.75 /12.01.001/2012-13 and DBOD.No.Ret.BC.79 /12.01.001/2012-13 dated January 29, 2013