In India, which institution is responsible for formulating and implementing monetary policy?

Correct option is B

The Reserve Bank of India (RBI) is responsible for formulating and implementing monetary policy in India. The primary objective of monetary policy is to maintain price stability while keeping in mind the objective of economic growth. The RBI achieves this through tools like the repo rate, reverse repo rate, cash reserve ratio (CRR), and statutory liquidity ratio (SLR).
· (a) Ministry of Finance oversees fiscal policy, not monetary policy.
· (c) NITI Aayog is a policy think tank and does not handle monetary policy.
· (d) SEBI regulates the securities and capital markets, not monetary policy.