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प्रश्न
Which of the following is/are the function(s) of central bank.
विकल्प
Banker's bank
Lender of the last resort
Receive deposits from the public and business firms.
Provide short-term and medium-term loans to customers.
उत्तर
Banker's bank and lender of the last resort
Explanation:
- The central bank acts as a banker to all the commercial banks in the country.
- Whenever a commercial bank needs financial assistance, it may borrow from other commercial banks. However, other commercial banks may not be able to provide funds to the bank in need. In this way the central bank acts as the lender of the last resort.
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संबंधित प्रश्न
Which of the following is not a function of the Central Bank?
Explain the functions of the RBI with respect to the following:
- Custodian of foreign exchange reserves.
- Monopoly of note issue.
- Clearing house facility.
- Banker and fiscal agent to the government.
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.
Which function of RBI is indicated by the above image?
The ______ is the central bank of our country which has the authority to print currency notes.
Give two reasons why the central banks enjoy monopoly of note issue.
Mention two ways in which the Reserve Bank of India assists the commercial banks.
Who normally keep their deposits in the Central Bank?
Name the institution that enjoys the monopoly of note issue in India.
