GK
BANKING AWARENESS AND SEBI
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Which of the following is true about the functions performed by RBI -
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It is the Bank of Issue
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It is the banker of other banks
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It regulates the flow of credit
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All of the above
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Explanation:
Detailed explanation-1: -The Reserve Bank of India, as the central bank of the country, functions as the sole bank with the right of issuing paper notes, it acts as banker to the Government, it is the banker to other bank and it regulates the flow of credit.
Detailed explanation-2: -The basic functions of the RBI are the issuance of currency, sustaining monetary stability in India, operating the currency, and maintaining the country’s credit system.
Detailed explanation-3: -Issuing of coins is not a function of the Central Bank.
There is 1 question to complete.