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Which of these Institutions fixes the re...

Which of these Institutions fixes the repo rate and reverse repo rate in India?

A

Comptroller and Auditor General of India

B

Ministry of Finance

C

State Bank of India

D

Reserve Bank of India

Text Solution

Verified by Experts

The correct Answer is:
D
Reserve Bank of India decides repo rate and reverse repo rate to control liquidity and inflation in the economy. The monetary policies are regulated by the Reserve bank of India. These policies include Repo rate, Reverse Repo rate, Bank Rate. by these rates RBI use to maintain the flow of the liquidity in the market.
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PINNACLE-ECONOMICS-MCQ (NATIONAL INCOME, IFLATION, BUDGET, TAXATION AND GDP)
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