Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: Open Economy Macro Economics

Question:
Who is the custodian of foreign exchange reserves in India and vested with the responsibility of managing their investment?
Options:
Reserve Bank of India
Foreign Banks
Finance Ministry
State Bank of India
Correct Answer:
Reserve Bank of India
Explanation:
Reserve Bank of India is the apex bank of the country and regulates the banking sector of Indian economy. It is the custodian of foreign exchange reserves in India.