ESCROW ACCOUNT : - Escrow account is an account where the moneys parked will be released only on fulfilment of some conditions of contract like export taking place or like power fed into the national power grid etc. (in the case of government getting power from independent power producers). - The beneficiary of the account can get the money after fulfilling the prescribed conditions. - It is a...

DEFLATION : - Denotes persistent fall in general price levels of goods and services. - It should not be confused with decline in prices in one economic sector or fall in inflation rate (known as disinflation), - While productivity driven deflation in which costs and rices are pushed lower by technological advances is beneficial to the economy that reflecting sharp slump in demand, excess capac...

DEFICIT FINANCING : - It is a planned excess of expenditure over income. - Most governments now often spend more than they raise in taxation, the difference being financed by borrowing. - The term is normally used in economics to refer to a planned budget deficit incurred in the interests of expanding aggregate demand by relaxing fiscal policy and thus injecting purchasing power into the econom...

DEBENTURE - A debenture is basically an unsecured loan to a corporation. A type of debt instrument that is not secured by physical asset. Debentures are backed only by the general creditworthiness and reputation of the issuer. (i) Convertible Debentures : Any type of debenture that can be converted into some other security or it can be converted into stock. (ii) Non-Convertibulity Debentures (N...

CURRENCY CHESTS : - Currency chests are storehouses where bank notes and rupee coins are stocked on behalf of the Reserve Bank of India. - The Reserve Bank of India has authorised selected branches of banks to establish Currency Chests in order to facilitate distribution of notes and coins across the country through other bank branches in their area of operation. - The currency chest is like a...