CRAR stands for capital to risk weighted assets:
ARatio
BReturn
CRating
DReserve
Answer & Solution
Correct answer: A. Ratio
1. The measure sets capital against risk weighted assets.
2. It is expressed as a proportion of those assets.
3. The final word is ratio.
_Source: RBI Master Circular, Prudential Norms on Capital Adequacy, Primary (Urban) Co-operative Banks_
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