RBI increases WMA for states to INR 32,335 crore
Q. RBI has increased WMA for states to INR 32,225 crore. What does WMA stand for?- Published on 01 Feb 16a. Ways and Means Advances
b. Ways and Means Approach
c. Ways and Methods Advances
d. None of the above
ANSWER: Ways and Means Advances
RBI has increased Ways and Means Advances for INR 32,325 crore. The Ways and Means Advances has been increased for the states to INR 32,225 crore from INR 15,360 crore for current and coming financial years. WMA aimed to provide a cushion for banks to carry out their essential activities and regular financial operations. RBI has banker to state governments, has also provided financial accommodation to states for tiding over temporary mismatches in cash flow of payments and receipts.
