2013 · EconomyPrevious Year Question
Q92.
The Reserve Bank of India regulates the commercial banks in matters of 1. liquidity of assets 2. branch expansion 3. merger of banks 4. winding-up of banks Select the correct answer using the codes given below:
A. 1 and 4 only
B. 2, 3 and 4 only
C. 1, 2 and 3 only
D. 1, 2, 3 and 4
Answer

D

Explanation

All four are regulated by RBI: (1) CRR and SLR regulate liquidity; (2) RBI has Branch Authorisation Policy for domestic banks; (3) Mergers and acquisitions require RBI clearance (though CCI also has a role); (4) RBI issued orders to wind up banks like Sahara India Financial Corp.