’sthemeaningofdepositreserve&thedepositreseveratio?IntroductionTheDepositreserve:Alsoknownas the statutory reserve orstorage reserve, is prepared by the financialinstitutions inordertoensure the needs of customers withdrawtheirdeposits andliquidationoffunds atthecentralbank :TheDepositreserveProportion ’’!!bankDepositreserveratiochangeshaveastrongimpactnotonlyonthemoneysupplyandmoneysupply,canalsoindirectlyaffectthelevelofinterestrates,butitdoesnotaffecttheinterestratestructure,……………………………….depositsThestatutorydepositreserveratiorisedescendForexample:MO/PRateCostADYieldAD:AggregateDemandMO/P:TherealmoneysupplyReason&,arypolicytoboosttheeconomy,solveobtainemployment,e,stabilizesocialobjective.
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