rbi banking with monetary policy

1. RESERVE BANK OF INDIA
& BANKING
Group members:-
• Akshay Patane roll no :-42
• Jay Shah roll no:-52
• Rajiv Koli roll no :-27

2. ROLE OF RESERVE BANK OF INDIA [RBI]
 Acts governing specific functions
 Issue of Currency
 Banker, Debt Manager & financial advisor to Government
 Banker to Bank
 Regulation of Banking System
 Manager of Foreign Reserve
 Regulator and Supervisor of Payment and Settlement Systems
 Credit control function
 Development Role
 Supervisory Functions of RBI

3. STRUCTURE

4. MONETARY POLICY OF INDIA
“The process by which monetary
authority of a country ,
generally central bank controls
the supply of money in the
economy”

5. OBJECTIVE OF MONETARY POLICY
 Price Stability.
 Restriction of Inventories and stocks.
 To Promote Efficiency.
 Reducing the Rigidity
 Controlled Expansion Of Bank Credit
AS PER RBI

6. INSTRUMENTS OF MONETARY POLICY
 Open Market Operations
 Cash Reserve Ratio
 Statutory Liquidity Ratio
 Bank Rate Policy
 Credit Authorization Scheme
 Repo Rate and Reverse Repo Rate

7. RURAL BANKING IN INDIA
Regional Rural Banks, have been set up under the Regional Rural Bank Act,
1976 .These were set up on the recommendations of the Narshimham
committee Working Group.
The area of operation of a majority of the RRBs is limited to a notified
area comprising a few districts in a State
Few of them are as follows.
•Haryana State Cooperative Apex Bank Limited
•NABARD
•Sindhanur Urban Souharda Co-operative Bank
•United ank of India
•Syndicate Bank
•Co-operative bank

8. RURAL BANKING IN INDIA
 Providing banking facilities to
rural and semi-urban areas.
 Carrying out government
operations.
 Providing Para-Banking facilities.
RRBs perform a variety of
different functions.

9. CO-OPERATIVE BANKS AND RURAL
CREDIT
 Co-operative Banks in India are registered under the Co-operative Societies
Act. The RBI also regulates the cooperative bank. They are governed by the
Banking Regulations Act 1949 and Banking Laws (Co-operative Societies)
Act, 1965.
 Co-operative Institutional Arrangements for Rural Credit:-
 Primary Agricultural Credit Societies (PACSs)
 Central Co-operative Banks (CCBs)
 Their own share capital and reserves,
 Deposits from public and
 Loan from state co-operative banks
 State Co-operative Banks (SCBs)

10. Role of RBI in Rural Credit
 Recapitalization and restructuring of RRBs.
 Simplification of lending procedures as per Gupta Committee recommendations
 Special credit plans
 Kisan Credit Cards
 Deregulation of lending rates
 Direct financing for SCBs
 Agricultural Insurance

11. THANKYOU