Question
When was the Reserve Bank of India (RBI)
established?Solution
The Reserve Bank of India (RBI) was established on April 1, 1935, under the Reserve Bank of India Act, 1934, during the British colonial period. Initially set up as a private shareholders' bank, it was nationalized in 1949 after India's independence. The RBI serves as India's central banking institution, responsible for regulating the monetary and financial system, managing foreign exchange, issuing currency, and implementing monetary policy. Its establishment represented a significant milestone in organizing India's financial infrastructure, which continues to evolve with the country's economic development.
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