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In India, which institution is responsible for the formulation and implementation of monetary policy?

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Question

In India, which institution is responsible for the formulation and implementation of monetary policy?

Options

  • State Bank of India

  • Ministry of Finance

  • Reserve Bank of India

  • NITI Aayog

MCQ
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Solution

Reserve Bank of India

Explanation: 

The Reserve Bank of India (RBI) is the central bank of the country and is entrusted with the responsibility of conducting monetary policy under the RBI Act, 1934.

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