Indian Economy
The banks are required to maintain a certain ratio between their cash in the hand and total assets. This is called

Central Bank Reserve (CBR)
Statutory Liquid Ratio (SLR)
Statutory Bank Ratio (SBR)
Central Liquid Reserve (CLR)

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Indian Economy
In pursuance with the recommendations of Narsimham Committee, the RBI has framed new guidelines

to reduce the freedom given to banks to rationalize their existing branch network
to lend more easily for industrial development
to govern entry of new private sector banks to make the banking sector more competitive
to setup more foreign exchange banks

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