The Reserve Bank of India is the central bank of the country. The Reserve Bank of India was set up on the basis of the recommendations of the Hilton Young Commission. The Reserve Bank of India Act, 1934 (II of 1934) provides the statutory basis for the functioning of the Bank, which commenced operations on April 1, 1935.
Burma (Myanmar) seceded from the Indian Union in 1937 but the Reserve Bank continued to act as the Central Bank for Burma till Japanese Occupation of Burma and later upto April 1947. After the partition of India, the Reserve Bank served as the central bank of Pakistan upto June 1948 when the State Bank of Pakistan commenced operations. The Bank, which was originally set up as a shareholder’s bank, was nationalized in 1949.
The Bank was constituted to:-
1. Regulate the issue of banknotes
2. Maintain reserves with a view to securing monetary stability and
3. To operate the credit and currency system of the country to its advantage.
Takeaways from above News-
- RBI was set up on the basis of the recommendations of the Hilton Young Commission.
- Reserve Bank of India was established on 01st April 1935.
- Sir Osborne Smith was the first Governor of the Reserve Bank of India.
- Urjit Ravindra Patel is present and 24th Governor of RBI.
- The Reserve Bank of India was nationalized on 1st January 1949.
- C. D. Deshmukh was the first Indian governor of RBI.
- The headquarter of RBI is in Mumbai, Maharashtra.
At present, there are four deputy governors of RBI.
1. B.P. Kanungo
2. S. S. Mundra
3. N. S. Vishwanathan
4. Viral V. Acharya
If you have any other takeaways, do share with us in the comment section
Source- Reserve Bank of India (RBI)