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The Repo Rate is the rate at which the central bank (like the Reserve Bank of India) lends money to commercial banks in the event of a shortfall. It is a tool used to control money supply in the economy. For example, if the RBI sets the repo rate at 5%, a commercial bank borrowing 100 crore would have to pay back 105 crore after a certain period.

On the other hand, the Reverse Repo Rate is the rate at which the central bank borrows money from commercial banks. It is used to absorb excess money in the banking system. If the RBI sets the reverse repo rate at 4%, a commercial bank lending 100 crore in the money market would receive 104 crore after a certain period.

In essence, the repo rate influences the cost of borrowing for banks, affecting overall money supply, while the reverse repo rate helps manage excess liquidity in the financial system.

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🔆 *Pala dynasty:*

✅ Founded by Gopala.
✅ After the death of Harsha and up to the rise of the Palas, the history of Bengal is not clear.
✅ During this time, West Bengal was known as Gauda and East Bengal as Vanga.
✅ Bengal was subject to internal disorder, which has been termed as Matsyanyaya.
✅ Gopala was the elected king by the people in a revolution to end the Matsyanyaya.
✅ Dharmapala became ruler after Gopala in about A.D. 780. He undertakes the expansion of his empire.
✅ According to Tibetan historians, Pala rulers were great patrons of Buddhist learning and religion.
✅ Dharmapala founded the famous Buddhist monastery at Vikramashila. It became eminent as Nalanda (in fame).
✅ The Pala kings patronized Hinduism as well.
✅ The Palas had close trade contacts and cultural links with South East Asia and China.
✅ The trade with South East Asia and China was very profitable and added greatly to the prosperity of the Pala Empire.
✅ The Palas were great patrons of Mahayana Buddhism. The Buddhist philosopher Haribhadra was the spiritual preceptor of Dharmapala.
✅Various mahaviharas , Stupas ,chaityas,temples and forts were constructed.
✅The earliest examples of miniature painting in India exist in the form of illustrations to the religious texts on Buddhism executed under the Palas of the eastern India.
✅Bronze casting was an important feature of pala sculptures.

💡 Mandar Patki (CSE 2019 RANK 22 ) modern India NOTES

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