Assocham asks RBI to roll back CRR hike
New Delhi: The Associated Chambers of Commerce and Industry of India (Assocham) has asked the Reserve Bank of India to roll back the cash reserve ratio to the previous level of 4.5 per cent as the liquidity crunch in the market is affecting the industry.

Assocham said the series of hikes in the cash reserve ratio from the initial level of 4.5 per cent by the Reserve Bank of India has created liquidity crunch in the money market to the extent that the call rates have touched a nine-year high rate of 19 per cent.

It said the lack of funds is crippling the working of the industry and may seriously hamper the growth if urgent steps are not taken by the RBI.
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