The monetary policy steps taken by the government ranges from setting the cash reserve ratio, statutory liquidity ratio and changes in other important interest rates which will have direct influence over the investment level and the loans to be taken by the business units. Since 2007, Fed has reduced the federal funds target rate from 5.25% to around 0.25% during December 2008. It is called as the zero lower bound which has been kept intentionally low to meet the requirements of the businesses in the country.