RBI Functions – Banker to other banks

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36. Which of the following entities acts as the agent of the government in transaction of its business?

a) Public sector banks

b) Private sector banks

c) Regional Rural Banks (RRBs)

d) Reserve Bank of India

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37. The Reserve Bank of India provides refinance facilities to which type of banks?

a) All scheduled commercial banks

b) Foreign banks operating in India

c) Non-Banking Financial Companies (NBFCs)

d) Private sector banks only

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38. The Reserve Bank of India issues guidelines and regulations for which of the following activities?

a) Foreign exchange transactions

b) Corporate governance practices

c) Banking capital adequacy norms

d) All of the above

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39. What is the primary objective of the Reserve Bank of India’s Cash Management Bill (CMB) scheme?

a) To manage liquidity in the banking system

b) To control government expenditure

c) To regulate capital flows in the economy

d) To facilitate interbank borrowing and lending

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40. The Reserve Bank of India is authorized to establish and maintain branches in India and abroad. (True/False)

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