When the Reserve Bank of India was established? 

Correct option is C

The correct answer is (c) 1935. The Reserve Bank of India (RBI) was established on April 1, 1935, as per the Reserve Bank of India Act, 1934. Initially, the RBI was set up as a privately owned institution to regulate the issue of banknotes, keep reserves to secure monetary stability, and operate the credit and currency system in India. In 1949, following India’s independence, the RBI was nationalized and began operating as a fully government-owned entity, taking on a broader role in guiding India's economic policy and development.
Information Booster
1. Founding Purpose: The RBI was created to control the issuance of currency, manage foreign exchange, and act as the banker to the government and commercial banks.
2. Nationalization: The RBI was nationalized in 1949, meaning it came under government ownership, which helped in aligning its policies with national economic goals.
3. Key Functions: The RBI manages monetary policy, oversees foreign exchange reserves, regulates the banking sector, and issues currency, except for coins.
4. Headquarters: The RBI's headquarters is in Mumbai, Maharashtra, India.
5. First Governor: The first Governor of the RBI was Sir Osborne Smith.