CAIIB · CB

RESERVE BANK OF INDIA

Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for Central Banking (Elective) — CAIIB.

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One-liners from this chapter

Free sample — 8 of 66 rapid-fire Q&A cards.

Q

In which year was the Reserve Bank of India established?

A

The Reserve Bank of India was established on April 1, 1935, under the Reserve Bank of India Act, 1934.

Q

What is the full form of RBI?

A

Reserve Bank of India, India's central bank.

Q

When was the Reserve Bank of India nationalised?

A

The RBI was nationalised on January 1, 1949, under the Reserve Bank of India (Transfer to Public Ownership) Act, 1948.

Q

Under which Act was the Reserve Bank of India established?

A

Reserve Bank of India Act, 1934.

Q

What is the primary objective of monetary policy as mandated to the RBI?

A

The primary objective of monetary policy is to maintain price stability while keeping in mind the objective of growth, as enshrined in the amended RBI Act, 1934.

Q

Where is the headquarters of the Reserve Bank of India located?

A

Mumbai, Maharashtra, India.

Q

What is the inflation target set for the RBI under the flexible inflation targeting framework?

A

The RBI is mandated to maintain CPI inflation at 4% with a tolerance band of +/- 2%, i.e., between 2% and 6%.

Q

What is the Reverse Repo Rate used by the RBI?

A

Rate at which RBI borrows money from commercial banks.

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