2. Reserve Bank of India is the central bank of
India .The reserve bank of India was established
on 1st April 1935,under the reserve bank of India
act,1934
The entire share capital of the bank was
acquired by the central government after giving
adequate compensation to the share holders
Thus ,from 1st January 1949,reserve bank of
India became a state owned institution.
3. Definition and Objective
Central Bank is an institution charged with the
responsibility of managing the expansion and
contraction of the volume of money in the interest of
general public welfare.
To regulate the issue of currency in India
To maintain and manage the foreign exchange reserves
of the country
4. Functions of reserve bank of India
Issue of currency
Banker to the government
Banker to the banks
Issue of currency
Banker to the government
Banker to the banks
5. Bank Rate 9.50%
Repo Rate 8.50%
Reverse Repo Rate 7.50%
Cash Reserve Ratio (CRR) 4.75%
Statutory Liquidity Ratio (SLR) 24.0%
Base Rate 10.00%-10.75%
Reserve Bank Rate 4%
Deposit Rate 8.50%–9.25%