Question

Which of the following statements is/are incorrect regarding the Monetary Policy Committee (MPC)?

I.            It decides the RBI’s benchmark interest rates.

II.            It is a 12-member body including the Governor of RBI and is reconstituted every year.

III.            It functions under the chairmanship of the Union Finance Minister.

A I and II only Correct Answer Incorrect Answer
B II and III only Correct Answer Incorrect Answer
C I and III only Correct Answer Incorrect Answer
D All of the above Correct Answer Incorrect Answer

Solution

Explanation: It is a 6 member body including the Governor of RBI and it functions under the chairmanship of The Governor of RBI.

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