Multiple choice

As per RBI guidelines, what does “Sensitive Sector” mean?

  1. Money market

  2. Real estate

  3. Commodities

  4. Both (2) and (3)

  5. Capital market

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

RBI classifies real estate and commodities as sensitive sectors due to their price volatility and higher risk profiles. These sectors require greater regulatory scrutiny and higher capital provisions from banks. Money market and capital market are financial systems, not sensitive sectors in this regulatory context.

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