Page 27 - DMGT303_BANKING_AND_INSURANCE

Banking and Insurance

Notes
Figure 2.2: Departments of Reserve Bank of India
Issue Banking
Department of Department Department Banking
Supervision
Development
RBI Service Board Banking
Operations
Department of
Accounts and Agriculture
Expenditure Credit
Departments of RBI
Exchange
Inspection Control
Department
Industrial
Economic Finance
Department
Non-banking
Department of Companies
Planning and Research Legal
Reorganization and Statistics Department

5. Agricultural Credit: This department:
(i) Studies the problems connected with agricultural credit
(ii) Conducts research on rural credit problems

(iii) Formulates rural credit policy of the Reserve Bank
(iv) Grants rural credit to state governments and state co-operative banks and publish
reports on agricultural credit.
6. Exchange Control: This department regulates and controls the sale and purchase of foreign
exchange.

7. Industrial Finance: This department extends financial assistance to small scale and medium
scale industries and also tenders advice to industrial financial corporations for their routine
working.
8. Non-Banking Companies: This department based at is chiefly concerned with the
supervision of the non-banking companies and financial institutions in the country.
9. Legal Department: This department gives advice to the various departments of the Bank
on legal matters, prepares directives and official reports of the Bank and gives advice to
the Bank on the proper implementation of legal matters relating to banking in the country.

10. Research and Statistics: This department:
(i) Undertakes research on problems in the areas of money, credit, finance, production,
etc.,

(ii) Collects statistics about the various sectors of the economy and publishes them,
(iii) Gives advice to the government for the solution of various economic problems and
in the formulation of its economic and financial policies.
11. Department of Planning and Reorganization: The department formulates new plans and
policies. It also reorganizes existing ones in order to make them more effective.

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