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Consider the following statements about the Reserve Bank of India:
1. It was established in 1935, in accordance with the provisions of the Reserve Bank of India Act, 1934.
2. It manages the Foreign Exchange under Foreign Exchange Management Act, 1999.
3. It only Issues and exchanges currency and coins for circulation and have no power to destroy currency and coins.
Which of the above statements are correct?
1. It was established in 1935, in accordance with the provisions of the Reserve Bank of India Act, 1934.
2. It manages the Foreign Exchange under Foreign Exchange Management Act, 1999.
3. It only Issues and exchanges currency and coins for circulation and have no power to destroy currency and coins.
Which of the above statements are correct?
- a)1 and 2 only
- b)2 and 3 only
- c)1 and 3 only
- d)1, 2 and 3
Correct answer is option 'A'. Can you explain this answer?
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Most Upvoted Answer
Consider the following statements about the Reserve Bank of India:1. I...
Both statement 1 and 2 are correct cause:-
Through rbi act of 1934 RBI started working from 1april 1935.
RBI manages foreign exchange in which it gives licenses to foreign exchange dealers.
destroying money can only by government as in 2016 when it enacted an ordinance which later became an act (SBN cessation of liabilities act 2017) by which it maintained that 500 and 1000 rupees will no longer be valid tender.
Through rbi act of 1934 RBI started working from 1april 1935.
RBI manages foreign exchange in which it gives licenses to foreign exchange dealers.
destroying money can only by government as in 2016 when it enacted an ordinance which later became an act (SBN cessation of liabilities act 2017) by which it maintained that 500 and 1000 rupees will no longer be valid tender.
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Community Answer
Consider the following statements about the Reserve Bank of India:1. I...
• Statement 3 is incorrect: It Issues and exchanges or destroys currency and coins not fit for circulation.
Reserve Bank of India
• The Reserve Bank of India was established on April 1, 1935 in accordance with the provisions of the Reserve Bank of India Act, 1934.
• The Central Office of the Reserve Bank was initially established in Calcutta but was permanently moved to Mumbai in 1937. The Central Office is where the Governor sits and where policies are formulated.
Though originally privately owned, since nationalization in 1949, the Reserve Bank is fully owned by the Government of India.
Main Functions
• Monetary Authority:
1. Formulates, implements and monitors the monetary policy.
2. Objective: maintaining price stability while keeping in mind the objective of growth.
• Regulator and supervisor of the financial system:
• Prescribes broad parameters of banking operations within which the country’s banking and financial system functions.
• Objective: maintain public confidence in the system, protect depositors’ interest and provide cost-effective banking services to the public.
• Manager of Foreign Exchange:
1. Manages the Foreign Exchange Management Act, 1999.
2. Objective: to facilitate external trade and payment and promote orderly development and maintenance of foreign exchange market in India.
• Issuer of currency:
1. Issues and exchanges or destroys currency and coins not fit for circulation.
2. Objective: to give the public an adequate quantity of supplies of currency notes and coins and in good quality.
• Developmental role:
1. Performs a wide range of promotional functions to support national objectives.
• Regulator and Supervisor of Payment and Settlement Systems:
1. Introduces and upgrades safe and efficient modes of payment systems in the country to meet the requirements of the public at large.
2. Objective: maintain public confidence in payment and settlement system
• Related Functions:
1. Banker to the Government: performs merchant banking function for the central and the state governments; also acts as their banker.
2. Banker to banks: maintains banking accounts of all scheduled banks.
Reserve Bank of India
• The Reserve Bank of India was established on April 1, 1935 in accordance with the provisions of the Reserve Bank of India Act, 1934.
• The Central Office of the Reserve Bank was initially established in Calcutta but was permanently moved to Mumbai in 1937. The Central Office is where the Governor sits and where policies are formulated.
Though originally privately owned, since nationalization in 1949, the Reserve Bank is fully owned by the Government of India.
Main Functions
• Monetary Authority:
1. Formulates, implements and monitors the monetary policy.
2. Objective: maintaining price stability while keeping in mind the objective of growth.
• Regulator and supervisor of the financial system:
• Prescribes broad parameters of banking operations within which the country’s banking and financial system functions.
• Objective: maintain public confidence in the system, protect depositors’ interest and provide cost-effective banking services to the public.
• Manager of Foreign Exchange:
1. Manages the Foreign Exchange Management Act, 1999.
2. Objective: to facilitate external trade and payment and promote orderly development and maintenance of foreign exchange market in India.
• Issuer of currency:
1. Issues and exchanges or destroys currency and coins not fit for circulation.
2. Objective: to give the public an adequate quantity of supplies of currency notes and coins and in good quality.
• Developmental role:
1. Performs a wide range of promotional functions to support national objectives.
• Regulator and Supervisor of Payment and Settlement Systems:
1. Introduces and upgrades safe and efficient modes of payment systems in the country to meet the requirements of the public at large.
2. Objective: maintain public confidence in payment and settlement system
• Related Functions:
1. Banker to the Government: performs merchant banking function for the central and the state governments; also acts as their banker.
2. Banker to banks: maintains banking accounts of all scheduled banks.
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Consider the following statements about the Reserve Bank of India:1. It was established in 1935, in accordance with the provisions of the Reserve Bank of India Act, 1934.2. It manages the Foreign Exchange under Foreign Exchange Management Act, 1999.3. It only Issues and exchanges currency and coins for circulation and have no power to destroy currency and coins.Which of the above statements are correct?a)1 and 2 onlyb)2 and 3 onlyc)1 and 3 onlyd)1, 2 and 3Correct answer is option 'A'. Can you explain this answer?
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Consider the following statements about the Reserve Bank of India:1. It was established in 1935, in accordance with the provisions of the Reserve Bank of India Act, 1934.2. It manages the Foreign Exchange under Foreign Exchange Management Act, 1999.3. It only Issues and exchanges currency and coins for circulation and have no power to destroy currency and coins.Which of the above statements are correct?a)1 and 2 onlyb)2 and 3 onlyc)1 and 3 onlyd)1, 2 and 3Correct answer is option 'A'. Can you explain this answer? for UPSC 2024 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about Consider the following statements about the Reserve Bank of India:1. It was established in 1935, in accordance with the provisions of the Reserve Bank of India Act, 1934.2. It manages the Foreign Exchange under Foreign Exchange Management Act, 1999.3. It only Issues and exchanges currency and coins for circulation and have no power to destroy currency and coins.Which of the above statements are correct?a)1 and 2 onlyb)2 and 3 onlyc)1 and 3 onlyd)1, 2 and 3Correct answer is option 'A'. Can you explain this answer? covers all topics & solutions for UPSC 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Consider the following statements about the Reserve Bank of India:1. It was established in 1935, in accordance with the provisions of the Reserve Bank of India Act, 1934.2. It manages the Foreign Exchange under Foreign Exchange Management Act, 1999.3. It only Issues and exchanges currency and coins for circulation and have no power to destroy currency and coins.Which of the above statements are correct?a)1 and 2 onlyb)2 and 3 onlyc)1 and 3 onlyd)1, 2 and 3Correct answer is option 'A'. Can you explain this answer?.
Consider the following statements about the Reserve Bank of India:1. It was established in 1935, in accordance with the provisions of the Reserve Bank of India Act, 1934.2. It manages the Foreign Exchange under Foreign Exchange Management Act, 1999.3. It only Issues and exchanges currency and coins for circulation and have no power to destroy currency and coins.Which of the above statements are correct?a)1 and 2 onlyb)2 and 3 onlyc)1 and 3 onlyd)1, 2 and 3Correct answer is option 'A'. Can you explain this answer? for UPSC 2024 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about Consider the following statements about the Reserve Bank of India:1. It was established in 1935, in accordance with the provisions of the Reserve Bank of India Act, 1934.2. It manages the Foreign Exchange under Foreign Exchange Management Act, 1999.3. It only Issues and exchanges currency and coins for circulation and have no power to destroy currency and coins.Which of the above statements are correct?a)1 and 2 onlyb)2 and 3 onlyc)1 and 3 onlyd)1, 2 and 3Correct answer is option 'A'. Can you explain this answer? covers all topics & solutions for UPSC 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Consider the following statements about the Reserve Bank of India:1. It was established in 1935, in accordance with the provisions of the Reserve Bank of India Act, 1934.2. It manages the Foreign Exchange under Foreign Exchange Management Act, 1999.3. It only Issues and exchanges currency and coins for circulation and have no power to destroy currency and coins.Which of the above statements are correct?a)1 and 2 onlyb)2 and 3 onlyc)1 and 3 onlyd)1, 2 and 3Correct answer is option 'A'. Can you explain this answer?.
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