Reserve Bank of India Act, 1934

RESERVE BANK OF INDIA ACT, 1934

[2 OF 1934]

An Act to constitute a Reserve Bank of India

WHEREAS it is expedient to constitute a Reserve Bank for India to regulate the issue of Bank notes and the keeping of reserves with a view to securing monetary stability in India and generally to operate the currency and credit system of the country to its advantage;

[ AND WHEREAS it is essential to have a modern monetary policy framework to meet the challenge of an increasingly complex economy;

AND WHEREAS the primary objective of the monetary policy is to maintain price stability while keeping in mind the objective of growth;

AND WHEREAS the monetary policy framework in India shall be operated by the Reserve Bank of India; ]

It is hereby enacted as follows :-

CHAPTER I

PRELIMINARY

Short title, extent and commencement.

1. (1) This Act may be called the Reserve Bank of India Act, 1934.

(2) It extends to the whole of India [***].

(3) This section shall come into force at once, and the remaining provisions of this Act shall come into force on such date or dates as the Central Government may, by notification in the Gazette of India, appoint.

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