Define Central Bank.

1.	Define Central Bank.
Answer» Central Bank: Central bank is the Apex bank of the country whose function is to Eiid, regulate and promote the entire money market and the banking sector as well as to maintain monetEiry stability for overall economic growth of the nation. According to R. P Kent, “Central bank is the institution charged with the responsibility of mEmaging the expansion and contraction of the volume of money in the interest of the general public welfare.” A central bank assumes the responsi¬bility of mEiintaining economic stability. A central bank also provides monetary advice and suggestions to the government. Reserve Bank of India (RBI): RBI is the central bank of India. RBI was established on April 1, 1935 with a private paid up capital of ₹ 5 crores and was nationalized on January 1, 1949. RBI is the Apex bEink of India which supervises and regulates the entire banking sector in the country. Also, it formulates monetary policy in India.

Answer»

Central Bank:

Central bank is the Apex bank of the country whose function is to Eiid, regulate and promote the entire money market and the banking sector as well as to maintain monetEiry stability for overall economic growth of the nation. According to R. P Kent, “Central bank is the institution charged with the responsibility of mEmaging the expansion and contraction of the volume of money in the interest of the general public welfare.”

A central bank assumes the responsi¬bility of mEiintaining economic stability.

A central bank also provides monetary advice and suggestions to the government.
Reserve Bank of India (RBI): RBI is the central bank of India. RBI was established on April 1, 1935 with a private paid up capital of ₹ 5 crores and was nationalized on January 1, 1949.
RBI is the Apex bEink of India which supervises and regulates the entire banking sector in the country. Also, it formulates monetary policy in India.

Define Central Bank.

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