Question : Which of the following is not a function of the Reserve Bank of India (RBI)?
Option 1: Issuing currency notes
Option 2: Regulating the banking system
Option 3: Regulating the securities market
Option 4: Managing the foreign exchange reserves of India
Correct Answer: Regulating the securities market
Solution : The correct answer is (c). Regulating the securities market
The Reserve Bank of India (RBI) performs multiple functions, but regulating the securities market is not one of them. The correct answer is c) Regulating the securities market.
The functions of the Reserve Bank of India include:
a) Issuing currency notes: The RBI is responsible for the issuance and management of currency notes and coins in India.
b) Regulating the banking system: The RBI regulates and supervises banks and financial institutions in India to ensure their stability, soundness, and proper functioning.
d) Managing the foreign exchange reserves of India: The RBI manages and maintains the foreign exchange reserves of India, which are crucial for the stability of the country's external sector.
While the securities market in India is regulated by the Securities and Exchange Board of India (SEBI), the RBI collaborates with SEBI and plays a supportive role in ensuring the smooth functioning and stability of the overall financial system.
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Question : Which of the following is not a function of the Reserve Bank of India?
Option 1: Controlling inflation
Option 2: Regulating foreign exchange
Option 3: Issuing currency notes
Option 4: Regulating the stock market
Question : Which of the following institutions is responsible for managing the foreign exchange reserves of India?
Option 1: Reserve Bank of India (RBI)
Option 2: Securities and Exchange Board of India (SEBI)
Option 3: National Stock Exchange of India (NSE)
Option 4: None of the above
Question : Which of the following is a function of the Reserve Bank of India (RBI)?
Option 1: Regulating the stock market
Option 2: Controlling inflation and monetary policy
Option 3: Issuing government bonds
Option 4: Regulating mutual funds
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