hamburger menu
All Coursesall course arrow
adda247
reward-icon
adda247
    arrow
    arrow
    arrow
    Which Indian organization is primarily responsible for setting interest rates?
    Question

    Which Indian organization is primarily responsible for setting interest rates?

    A.

    SEBI

    B.

    NABARD

    C.

    RBI

    D.

    IRDA

    Correct option is C

    The Reserve Bank of India (RBI) is the central bank of India and is primarily responsible for setting interest rates in the country. Through its Monetary Policy Committee (MPC), the RBI sets key interest rates like the repo rate, which influences the lending and borrowing rates across the banking system. These interest rates are crucial tools used by the RBI to manage inflation, control liquidity, and stabilize the currency.

    test-prime-package

    Access ‘UPSC CSE IAS’ Mock Tests with

    • 60000+ Mocks and Previous Year Papers
    • Unlimited Re-Attempts
    • Personalised Report Card
    • 500% Refund on Final Selection
    • Largest Community
    students-icon
    354k+ students have already unlocked exclusive benefits with Test Prime!
    test-prime-package

    Access ‘UPSC CSE IAS’ Mock Tests with

    • 60000+ Mocks and Previous Year Papers
    • Unlimited Re-Attempts
    • Personalised Report Card
    • 500% Refund on Final Selection
    • Largest Community
    students-icon
    354k+ students have already unlocked exclusive benefits with Test Prime!
    Our Plans
    Monthsup-arrow