GK
BANKING AWARENESS AND SEBI
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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IDBI
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Corporates
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Reserve Bank of India
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Every non-banking company
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Detailed explanation-1: -Commercial paper is an unsecured, short-term debt instrument issued by corporations. It’s typically used to finance short-term liabilities such as payroll, accounts payable, and inventories. Commercial paper is usually issued at a discount from face value. It reflects prevailing market interest rates.
Detailed explanation-2: -Corporates and primary dealers (PDs), and all-India financial institutions (FIs) that have been permitted to raise short-term resources by Reserve Bank of India are eligible to issue CP. A corporate would be eligible to issue CP provided subject to certain conditions.
Detailed explanation-3: -Corporates, primary dealers (PDs) and the All-India Financial Institutions (FIs) are eligible to issue CP.