Which of the following are the sources of income for the Reserve Bank of India? I. Buying and selling Government bonds II. Buying and selling foreign currency III. Pension fund management IV. Lending to private companies V. Printing and distributing currency notes Select the correct answer using the code given below.
Explanation:
The Reserve Bank of India (RBI) earns income primarily through its market operations. Buying and selling Government bonds (Open Market Operations) and buying and selling foreign currency (foreign exchange management) are significant sources of income. The RBI does not typically lend directly to private companies (IV). While it is responsible for printing and distributing currency (V), this is an expenditure, not a source of income. Pension fund management (III) is an internal function, not a general source of income for the institution from external operations.