BANKING GENERAL KNOWLEDGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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On-shore banking
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Off-shore banking
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Investments in secondary market
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Wealth management
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Detailed explanation-1: -The Central Bank, the RBI formulates, implements and monitors the monetary policy. In fact, the monetary policy and the fiscal policy are the two tools of macroeconomic policy. The monetary policy mainly ensures that there is price stability coupled with economic growth.
Detailed explanation-2: -The Reserve Bank’s operations are governed by a central board of directors, RBI is on the whole operated with a 21-member central board of directors appointed by the Government of India in accordance with the Reserve Bank of India Act.
Detailed explanation-3: -It avoids the bank to run the business with a profit motive only. It also keeps a check on the interest rate of credit facilities provided by banks. RBI makes sure that the loans from the banks are affordable and cheap.