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प्रश्न
Discuss the role of the Central Bank as the fiscal agent to the government.
How does the central bank act as a fiscal agent to the government?
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उत्तर १
As a fiscal agent, it performs the following functions:
- It manages the public borrowings.
- It collects taxes and other payments on behalf of the government.
- It represents the government in international financial institutions (such as the World Bank, the International Monetary Fund, etc.) and conferences.
उत्तर २
The central bank (RBI) is considered a fiscal agency of the government because it makes and receives payments on behalf of the government. It issues public debt and advises on monetary and financial policies. Thus, the RBI operates as the government's fiscal agent.
संबंधित प्रश्न
Assertion (A): Central bank as a banker to the government, works as a custodian of foreign exchange reserves.
Reason (R): The Central bank acts as a Clearing house for the transfer and settlement of mutual claims of commercial banks.
The RBI settles claims of other commercial banks by a process of book entries. It helps to stabilize the banking system in the economy. Which function of the Central bank is explained here.
Central bank is the ______ of the country's foreign currency reserves.
Which of the following is/are the function(s) of central bank.
The ______ is the central bank of our country which has the authority to print currency notes.
What is meant by clearing house function of the RBI?
Explain the ‘Clearing House Function’ of the central bank.
The main advantage of giving the monopoly right of note issue to the central bank is that it ______.
______ is the main function of central bank.
Identify which of the following is not the function of the central bank?
Read the following statements - Assertion (A) and Reason (R). Choose one of the correct alternatives given below:
Assertion (A): Central Bank acts as a banker to the Government.
Reason (R): Except the one rupee note, all other currency notes bear the signature of Governor of RBI.
How does the central bank act as a lender as the last resort?
Mention two ways in which the Reserve Bank of India assists the commercial banks.
How is Bank rate altered to correct a depression in an economy?
The Central Bank is the apex monetary institution of the country. Explain its role of a Banker of the Government.
- Name the institution that enjoys the monopoly of note issue in India.
- Briefly explain two qualitative methods of credit control adopted by this institution.
