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What are the functions of Reserve …

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What are the functions of Reserve Bank of India(RBI)? (both monetary and non-monetary functions)
  • 1 answers

Meghna Thapar 5 years, 6 months ago

RBI performs certain non-monetary functions for the supervision of banks and promotion of sound banking system in India. Supervisory functions ensure improvement in the methods of operation of Banking in India. It controls and administers the entire financial and banking system of India through these functions.
Major functions of the RBI are as follows:

  1. Issue of Bank Notes
  2. Banker to Government
  3. Custodian of Cash Reserves of Commercial Banks
  4. Custodian of Country's Foreign Currency Reserves
  5. Lender of Last Resort
  6. Central Clearance and Accounts Settlement
  7. Controller of Credit
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