Reserve Bank of India — Prelims Questions

Which of the following statements about the Reserve Bank of India (RBI) is/are correct? 1. The RBI was established on the recommendations of the Hilton Young Commission. 2. The RBI is the sole authority for issuing currency notes of all denominations in India. 3. The Governor of RBI is appointed by the Central Government for a fixed term. Select the correct answer using the code given below:

Which of the following are the functions of the Reserve Bank of India? 1. Custodian of foreign exchange reserves. 2. Banker to the Government. 3. Issuing currency notes. 4. Regulating stock markets. Select the correct answer using the code given below:

With reference to the Monetary Policy Committee (MPC) in India, consider the following statements: 1. It is a 6-member body, with the RBI Governor as its ex-officio Chairperson. 2. The external members of the MPC are appointed by the Central Government. 3. The MPC's decisions are binding on the Central Government. Which of the statements given above is/are correct?

Which of the following is NOT a quantitative tool of monetary policy used by the RBI? 1. Repo Rate 2. Cash Reserve Ratio (CRR) 3. Open Market Operations (OMOs) 4. Moral Suasion

Consider the following statements regarding the Prompt Corrective Action (PCA) framework: 1. It is a framework under which banks with weak financial metrics are placed under watch by the RBI. 2. It primarily focuses on capital adequacy, asset quality, and profitability. 3. Banks under PCA are prohibited from lending to the priority sector. Which of the statements given above is/are correct?