reserve ratio

reserve ratio
In banking, the primary reserve ratio is the ratio of the balance of Federal Reserve balance of the bank plus cash in vault to the demand deposits of the bank.

Black's law dictionary. . 1990.

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  • reserve ratio — ➔ ratio * * * reserve ratio UK US noun [C] US BANKING, FINANCE ► RESERVE REQUIREMENT(Cf. ↑reserve requirement) …   Financial and business terms

  • reserve ratio — noun Etymology: reserve (II) : the ratio of the cash reserves of a bank to liabilities; especially : the ratio of gold certificates to combined deposit liabilities and outstanding Federal Reserve notes of the Federal Reserve banks * * * reserve… …   Useful english dictionary

  • Reserve Ratio — The portion (expressed as a percent) of depositors balances banks must have on hand as cash. This is a requirement determined by the country s central bank, which in the U.S. is the Federal Reserve. The reserve ratio affects the money supply in a …   Investment dictionary

  • reserve ratio — relation between the amount of cash at a bank s disposal and the amount of deposits deposited in the bank …   English contemporary dictionary

  • cash reserve ratio — UK US noun [C] ► BANKING a RESERVE RATIO(Cf. ↑reserve ratio) …   Financial and business terms

  • secondary reserve ratio — ratio between the government securities of the bank and its demand deposits. There is also a ratio between time deposits and Federal Reserve balances plus cash in vault …   Black's law dictionary

  • Reserve requirement — The reserve requirement (or required reserve ratio) is a bank regulation that sets the minimum reserves each bank must hold to customer deposits and notes. These reserves are designed to satisfy withdrawal demands, and would normally be in the… …   Wikipedia

  • ratio — the proportional relationship of one thing to another * * * ratio ra‧ti‧o [ˈreɪʆiəʊ ǁ ˈreɪʆoʊ] noun [countable] a relationship between two amounts that is represented by a pair of numbers showing how much greater one amount is than the other: •… …   Financial and business terms

  • Reserve Bank of India — Infobox Central bank bank name in local = भारतीय रिज़र्व बैंक image 1 = RBI Tower.jpg image title 1 = The RBI headquarters in Mumbai image 2 = image title 2 = headquarters = coordinates = established = April 1, 1935 president = Duvvuri Subbarao… …   Wikipedia

  • reserve requirements — The minimum amount of cash and liquid assets as a percentage of demand deposits and time deposits that member banks of the Federal Reserve are required to maintain. Chicago Board of Trade glossary The percentages of different types of deposits… …   Financial and business terms

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