Consider the following pairs:1. Repo rate : Policy rate set by the ce...
1. Repo rate: Policy rate set by the central bank.
- Correct. The repo rate is indeed a policy rate determined by the central bank (RBI in India) and is used to control inflation and liquidity.
2. 91-day Treasury Bill yield: Long-term government security yield.
- Incorrect. The 91-day Treasury Bill yield represents the yield from a short-term government security, not a long-term one.
3. 182-day Treasury Bill yield: Short-term government security yield.
- Correct. The 182-day Treasury Bill is a short-term government security, and its yield represents the return over this short duration.
4. Basel III norms: Prudential regulatory framework for banks.
- Correct. Basel III norms are international regulatory frameworks developed to strengthen the regulation, supervision, and risk management within the banking sector.
Thus, pairs 1, 3, and 4 are correctly matched, making the correct answer "Option C: Only three pairs."