[amp_mcq option1=”State Bank of India” option2=”Reserve Bank of India” option3=”ISI” option4=”CBI” correct=”option2″]
The correct answer is: B. Reserve Bank of India
The Reserve Bank of India (RBI) is the central bank of India. It was established on April 1, 1935, in accordance with the Reserve Bank of India Act, 1934. The RBI is the banker to the Government of India and the banker’s bank. It is also the issuer of currency in India.
The RBI has the sole right to issue currency notes and coins in India. It also has the power to regulate the supply of money in the economy. The RBI is responsible for maintaining price stability and promoting economic growth.
The RBI is governed by a central board of directors. The board consists of 20 members, including the governor, four deputy governors, and 15 directors. The governor is appointed by the President of India on the recommendation of the Union Finance Minister. The deputy governors are appointed by the Central Government. The directors are appointed by the Central Government in consultation with the RBI.
The RBI has its headquarters in Mumbai. It has branches in all the major cities of India. It also has offices in London, New York, and Tokyo.
The RBI is a statutory body. It is not a government department. It is a corporate body with a separate legal entity. The RBI is subject to the supervision and control of the Central Government.
The RBI is a very important institution in the Indian economy. It plays a vital role in the regulation of the financial system and the management of the country’s monetary policy.
The other options are incorrect because:
- State Bank of India (SBI) is a commercial bank. It is not authorized to issue currency.
- Indian Standards Institution (ISI) is a national standards body. It is not authorized to issue currency.
- Central Bureau of Investigation (CBI) is an investigative agency. It is not authorized to issue currency.