Banking, mapped
MapGlossary
The regulator's grip·3 of 4
  1. RBI & the repo rate→
  2. CRR (Cash Reserve Ratio)→
  3. SLR (Statutory Liquidity Ratio)→
  4. Rate transmission (repo → your EMI)

The regulator's grip

SLR: the deposits your bank must lend to the government

The slice of deposits a bank must hold in government bonds instead of lending out.

Why it matters

SLR is why a big pile of the balance sheet sits in bonds, not loans — treasury and ops staff field this constantly.

A worked example

At 18% SLR, ₹180 cr of every ₹1,000 cr goes into G-secs — combined with CRR, ~₹225 cr is locked before any customer lending.

The picture

₹1,000 cr depositsSLR: ₹180 cr inbonds (~7%)CRR: ₹45 cr (0%)~₹775 cr lendable(~9%)18% into G-secs4.5% as cash at RBIthe rest

What it leads to

SLR sits alongside CRR as the second regulatory lock on deposits, both dragging on what you can earn.

Where it sits in the map

What a bank'sbalance sheetactually isRBI & the reporateWhat a bank'sbalance sheetactually isCRR (Cash ReserveRatio)CRR (Cash ReserveRatio)SLR (StatutoryLiquidity Ratio)

Follow the causation

this is the other forced holding, but in cash not bondsCRR (Cash Reserve Ratio)→this is the policy rate RBI moves alongside SLRRBI & the repo rate→this is where these forced G-secs show up as assetsWhat a bank's balance sheet actually is→