Question

The Reserve Bank of India and Bank of England has signed a memorandum of understanding. What is the  recent development that has occurred between the Reserve Bank of India (RBI) and the Bank of England (BoE)?

A Signing a trade agreement Correct Answer Incorrect Answer
B Establishing a framework for cooperation Correct Answer Incorrect Answer
C A dispute over financial regulations Correct Answer Incorrect Answer
D Imposing sanctions Correct Answer Incorrect Answer
E Currency exchange negotiations Correct Answer Incorrect Answer

Solution

The Reserve Bank of India and Bank of England has signed a memorandum of understanding which will end the imbroglio over British banks’ participation in Indian bonds and derivative market. The MoU establishes a framework for the BoE to place reliance on RBI’s regulatory and supervisory activities while safeguarding UK financial stability.

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