How lowering cash reserve ratio will unlock new loans

Central Bank of Kenya (CBK) has moved to release more liquidity for lending to the economy with a cut in cash reserve ratio. 
 

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What is the Cash Reserve Ratio (CRR)?

The cash reserve ratio is a requirement for commercial banks in Kenya to retain a specified proportion of their total deposits at the central bank to facilitate liquidity management.

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Note: The results are not exact but very close to the actual.