10
[G]Monetary Control INTRODUCTION: 1.Monetary Contr ol is the main function of the Reserve Bank ,as it is central bank of the country. 2.Formulating and administering monetary policy involves using of instruments within it’s control to influence the level of aggregate demand for goods and services by regulation of the total money supply and credit. 3.The RBI exercises monetary regulation by influencing the availability and cost of credit by exercising different types of controls. 4.General or quantitative controls are the instruments of Bank rate,reserve requirements and open market op erations.These meth ods affect the total money supply.
