π¦ Chapter 05 Β· Indian Economy Β· Financial System
Banking System & RBI
Functions of RBI, commercial banks, CRR, SLR, repo rate, monetary policy tools β explained with real examples for UPSC & PSC exams.
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Sub-Topics
10
Practice MCQs
10
PYQs
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Very High
π What You Will Learn in This Chapter
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RBI β establishment, functions, structure
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Monetary policy tools β CRR, SLR, Repo, Reverse Repo
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Types of banks in India
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Nationalisation of banks (1969, 1980)
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Priority sector lending
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NPA β Non-Performing Assets
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Financial inclusion β Jan Dhan Yojana
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Digital payments β UPI, RTGS, NEFT
π― Exam Relevance β This chapter appears in:
UPSC Prelims (2β3 Qs/year)APPSC Group 1 & 2TGPSC Group 1 & 2SSC CGL / CHSLState PSC Exams
π Chapter Sub-Topics β Click to Read
Topic 01
RBI β Establishment, Structure & Functions
RBI established 1935, nationalised 1949, Governor, functions β banker’s bank, lender of last resort, currency issuer.
Topic 02
Monetary Policy Tools β CRR, SLR, Repo Rate Explained
CRR, SLR, Repo Rate, Reverse Repo Rate, MSF, Bank Rate β all explained with simple examples of how they control inflation.
Topic 03
Types of Banks & Bank Nationalisation
Commercial banks, cooperative banks, RRBs, payment banks, small finance banks, and bank nationalisation (1969, 1980).
Topic 04
Priority Sector Lending & NPA
Priority sector categories, targets, Non-Performing Assets (NPA) problem, IBC 2016, and bank recapitalisation.
Topic 05
Financial Inclusion β Jan Dhan, MUDRA & Digital Payments
PMJDY, MUDRA loans, UPI, RTGS, NEFT, IMPS β India’s digital payment revolution and financial inclusion story.
Topic 06
Inflation, Deflation & Quick Revision
Types of inflation, WPI vs CPI, causes of inflation, RBI’s inflation targeting, and complete chapter revision.
β‘ Quick Access