The Reserve Bank of India (RBI) acts as a bankers' bank. This would imply which of the following? 1. Other bank retains their deposits with the RBI. 2. The RBI

Question

The Reserve Bank of India (RBI) acts as a bankers' bank. This would imply which of the following?
1. Other bank retains their deposits with the RBI.
2. The RBI lends funds to the commercial banks in times of need.
3. The RBI advises the commercial banks on monetary matters.
Select the correct answer using the codes given below:

Accepted Answer

(D) 1, 2 and 3

Answer

(A) 2 and 3 only

Answer

(B) 1 and 2 only

Answer

(C) 1 and 3 only