Practicing Success

Target Exam

CUET

Subject

General Test

Chapter

General Knowledge

Topic

Economics

Question:

Who is responsible for regulating the money supply in the Indian economy?

Options:

Government of India

National Institution for Transforming India

Commercial banks

Reserve Bank of India

Correct Answer:

Reserve Bank of India

Explanation:

Reserve Bank of India i.e., Central bank is the top monetary authority of the country who regulates the money supply with the help of its policy instruments i.e. interest rates, CRR etc.