Bank Rate is :
Answer & explanation
Correct answer: option 2
The correct answer is option (2) : The rate at which RBI gives loans to the commercial banks
The Bank Rate is the rate at which the central bank (in this case, the Reserve Bank of India or RBI) lends money to commercial banks. This rate is a tool used by the central bank to control the money supply in the economy and to influence the overall level of economic activity.