The Reserve Bank of India regulates the commercial banks in matters of

  1. Liquidity of assets
  2. Branch expansion
  3. Merger of banks
  4. Winding-up of banks

Select the correct answer using the codes given below:

[UPSC Civil Services Exam – 2013 Prelims]

(a) 1 and 4 only

(b) 2, 3 and 4 only

(c) 1, 2 and 3 only

(d) 1, 2, 3 and 4


Answer: (d)        

Explanation:

  • Reserve Bank of India is called the banker’s bank and regulates the banking sector in India.
  • By using mechanisms like CRR, SLR, etc, it keeps a check on the liquidity of assets of the banks.
  • Hence statement 1 is correct.
  • Moreover, RBI also sets rules and regulations concerning the merger of banks, their winding-up operations, and branch expansion.
  • ​Hence statements 2, 3, and 4 are correct.

Consider the following statements:                                                                   The Parliament of India can place a particular law in the Ninth Schedule of the Constitution of India. The validity of a law placed in the Ninth Schedule cannot be examined by any court and no judgement can be made on it. Which of the statements given above is/are correct?

Consider the following statements:                                               

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Consider the following statements:                                                         The Parliament of India can place a particular law in the Ninth Schedule of the Constitution of India. The validity of a law placed in the Ninth Schedule cannot be examined by any court and no judgement can be made on it. Which of the statements given above is/are correct?

Consider the following statements:                                               

Read More »
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