In most countries, cash is required to be held in reserve against deposits.

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In most countries, cash reserve requirement is imposed on banks and financial institutions to ensure the stability of the financial system and prevent bank runs. This requirement mandates that a percentage of deposits should be held in reserve in the form of cash or deposits with central banks. The exact percentage varies by country and is set by the central bank or regulatory authority.

In Most Countries, Cash Is Required to Be Held in Reserve