When RBI reduces CRR, it results into

The correct answer is: A. Increase in lendable resources.

When the RBI reduces the CRR, banks have more

money to lend. This is because the CRR is the percentage of deposits that banks are required to keep in reserve. When the CRR is reduced, banks have more money to lend to businesses and consumers. This can lead to an increase in lending and economic growth.

The other options are incorrect because:

• Option B is incorrect because when the CRR is reduced, banks have more money to lend, not less.
• Option C is incorrect because when the CRR is reduced, deposits do not decrease.
• Option D is incorrect because when the CRR is reduced, deposits do not increase.