Question 4
MediumOriginal questionMatch each function of the RBI with what it involves.
| List I | List II |
|---|---|
| A. Bank of issue | I. Holds banks' reserves and lends to them |
| B. Banker to the government | II. Sole right to issue currency notes |
| C. Banker's bank | III. Holds and manages the country's forex reserves |
| D. Custodian of foreign exchange | IV. Keeps the government's accounts and manages its borrowing |
Show the answer and explanation
CorrectNot quiteAnswer D
Correct answer: D
Explanation
Each title names one role of the central bank.
- Concept
- Functions of the RBI
- Typical timeTypical
- 90 s
- Your timeYours
- —
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