Question

As the Banker to the Bank, Reserve Bank of India performs all functions except ______.

Options

• Purchase and sale of securities on behalf of general public

• Maintaining current account for Commercial Banks

• Clearing and settlement of Interbank transactions

• Facilitating governmental transactions

Answer 1

As the Banker to the Bank, Reserve Bank of India performs all functions except maintaining current account for Commercial Banks.

Explanation:

The RBI serves as the banker to the bank and conducts the following functions:

• Securities are purchased and sold on behalf of the public.
• Accounting for the Central Government.
• Interbank transactions are cleared and settled.
• Optimizing Government transactions.