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What are the functions of RBI?
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Answer Posted / preeti majhi
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The RBI is a banker to the government and performs merchant banking function for the central and the state governments. It also acts as their banker. TheNational Housing Bank (NHB) was established in 1988 to promote private real estate acquisition.[29] The institution maintains banking accounts of all scheduled banks, too.
There is now an international consensus about the need to focus the tasks of a central bank upon central banking. RBI is far out of touch with such a principle, owing to the sprawling mandate described above.
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