Question : Monetray policy in India is formulated by:
Option 1: Finance Ministry
Option 2: RBI
Option 3: SEBI
Option 4: CLB
Correct Answer: RBI
Solution : Correct Answer is RBI
The responsibility for creating the nation's monetary policy rests with the Reserve Bank of India. As a result, it is also referred to as the RBI's Monetary Policy. The RBI is granted this authority in accordance with the RBI Act of 1934. The money supply, credit availability, and interest rates are all governed by the RBI's monetary policy.
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