The Bank rate at which the Reserve Bank of India is ready to buy or rediscount bills of exchange or other commercial papers. The Bank Rate is published under which of the following act?

[A] Reserve Bank of India Act, 1934

[B] Banking Regulation Act, 1949

[C] State bank of India Act, 1955

[D] Payment regulation Act, 2007

Answer: A

Notes:

Bank Rate is the rate at which the Reserve Bank is ready to buy or rediscount bills of exchange or other commercial papers.

The Bank Rate is published under Section 49 of the Reserve Bank of India Act, 1934.

This rate has been aligned to the MSF rate and, therefore, changes automatically as and when the MSF rate changes alongside policy repo rate changes.

Source: RBI