The Reserve Bank
of India (RBI) is India's central
banking institution, which controls the monetary policy of the Indian rupee. It
commenced its operations on 1 April 1935 during the British Rule in accordance
with the provisions of the Reserve Bank of India Act, 1934. The original share
capital was divided into shares of 100 each fully paid, which were initially
owned entirely by private shareholders. Following India's independence on 15
August 1947, the RBI was nationalised on 1 January 1949.
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