Banking Regulation and Monetary Policy

ICRA, CRISIL and CARE all are credit rating agencies in India. All of these are credit rating agencies sponsored by all India Financial Institutions, Banks and have tie ups with many international agencies.  

On the recommendations of Kelkar Committee, no new RRB (Regional Rural Bank) has been established since April 1987. RRB's are working in all states of the country except of Sikkim and Goa. At present 196 RRBs are working in the country. Since April1987, no new RRB has been opened according to the Kelkar Committee. 

NABARD (National Bank for Agriculture and Rural Development) is the primary regulatory agency tasked with overseeing the microfinance sector in India, as per the provisions discussed in the 2007 Micro Finance Bill.

The RBI issued directives to banks to refrain from granting loans for the purchase of Kisan Vikas Patra, as these are government savings instruments and using bank credit to purchase them was considered an improper use of financial leverage.

In the context of banking assets, PA stands for Performing Assets, which are loans that are generating interest income as scheduled.

The Banking Regulation Act, 1949, is the primary legislation that governs and regulates the operations of banks in India.

This is the correct answer. Reserve Bank of India gives approval if the joint venture is covered under the automatic route. Foreign Investment Promotion Board has to approve a joint venture specially, if it is not covered under the automatic route and it is a special case.

The Reserve Bank of India (RBI) is the central banking institution of India and holds the regulatory authority to grant licenses for opening new bank branches.

Under the Indian coinage system, one-rupee coins and currency notes, along with all subsidiary fractional coins, are issued by the Ministry of Finance, Government of India. Currency notes of two rupees and above are issued by the Reserve Bank of India.

This is the correct answer. Cooperative Banks are an important source of rural credit and agricultural financing in India. They are governed by the provisions of State Cooperative Societies Act and meant essentially for providing cheap credit to their members.

The one-rupee note is issued by the Ministry of Finance, Government of India, and therefore bears the signature of the Finance Secretary, not the RBI Governor.

Under the Indian coinage system, one-rupee coins, notes, and subsidiary coins are issued by the Ministry of Finance, which is part of the Central Government. All other higher denomination paper currency notes are issued exclusively by the Reserve Bank of India.

The Electronic Fund Transfer (EFT) system in India was initially rolled out across 15 major centres.

In India, the one-rupee note is issued by the Ministry of Finance, and it bears the signature of the Finance Secretary, not the Reserve Bank Governor.

Foreign banks in India are mandated to meet priority sector lending targets. The specific target for foreign banks is 32% of their net bank credit.