............From that perspective we cannot differentiate between a CRR and a OMO. Where the differentiation can come is CRR is kind of free money for the banks, whereas OMO has a cost attached to it, but on the other hand if you do too much of OMO you will always be criticized that you are funding your fiscal deficit and lets not forget that at least in this policy statement RBI has been very clear about fiscal consolidation............
Read..................
