Reserve Bank Of India - RBI


DEFINITION of 'Reserve Bank Of India - RBI'

The central bank of India, which was established on April 1, 1935, under the Reserve Bank of India Act. The RBI uses monetary policy to create financial stability in India and is charged with regulating the country's currency and credit systems.

BREAKING DOWN 'Reserve Bank Of India - RBI'

Located in Mumbai, the Reserve Bank of India serves the financial market in many ways. One of its most important functions is establishing an overnight interbank lending rate. The Mumbai Interbank Offer Rate, or MIBOR, serves as a benchmark for interest rate related financial instruments in India.

  1. Monetary Policy

    Monetary policy is the actions of a central bank, currency board ...
  2. Overnight Rate

    The interest rate at which a depository institution lends immediately ...
  3. Collateralized Borrowing And Lending ...

    A money market instrument that represents an obligation between ...
  4. Interbank Rate

    The rate of interest charged on short-term loans made between ...
  5. Central Bank

    The entity responsible for overseeing the monetary system for ...
  6. Foreign Exchange Dealers Association ...

    An association of banks specializing in the foreign exchange ...
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