Preconditions need to be met before SLR cut: RBI

A number of preconditions need to be met before statutory liquidity ratio (SLR) can be cut, Duvvuri Subbarao, governor of the Reserve Bank of India, said on Friday.

Banks are required to invest at least 24% of their deposits in government bonds or other approved securities, but hold nearly 29% because of a lack of lending opportunities.