Question

Under Section 45ZB of the RBI Act, 1934 (inserted by the Finance Act, 2016), the Monetary Policy Committee (MP

  • C is constituted to determine the Policy Rate. Which of the following correctly describes the "Policy Rate" as defined in the RBI Act, 1934?
A The rate at which RBI lends to commercial banks under the Marginal Standing Facility
B The rate for repo-transactions under sub-section (12AB) of Section 17
C The Bank Rate published under Section 49
D The rate of interest on Government Securities held by scheduled banks
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