Skip to content

"Reserve Bank of India… (Class 10 Social Science 2025, Q28)

questionbuddy.in/q/cbse-10-social-science-2025-32-3-1-q28-reserve-bank-india-plays-crucial

Social ScienceCBSE Class 10 · Board exam 2025, set 32/3/1 · 3 marks · Short answer

CBSE Class 10 Social Science 2025: question 28

Set in the CBSE Class 10 board exam of 2025, paper 32/3/1, section C, question 28, for 3 marks. Try it first; the hints and our step-by-step solution are below.

Q28 · 3 marks · Short answerMoney and Credit

"Reserve Bank of India plays a crucial role in regulating the Indian banks." Justify the statement.

Source: official question paper from cbse.gov.in (PDF). See it in the full 2025 board paper, set 32/3/1.

Hints

Open one hint at a time and try again before the next.

Hint 1

Who prints and issues notes (other than the one-rupee note)?

Hint 2

What does RBI check about banks' cash and lending?

Step-by-step solution

Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.

  1. The RBI issues currency on behalf of the Central Government.

    1 mark

  2. It supervises the functioning of formal sources of loans and monitors banks to see they maintain the required cash balance.

    1 mark

  3. It ensures banks lend not only to profitable businesses and traders but also to small cultivators, small industries and small borrowers.

    1 mark

Answer: RBI issues currency, supervises banks and their cash balances, and ensures loans reach small borrowers.

Where the marks are

  • Issues currency (1 mark)
  • Supervises banks and cash balance (1 mark)
  • Ensures loans to small borrowers (1 mark)

Revise the chapter

  • Chapter: Money and Credit (notes, formulas, where marks are lost and every past question)
Practise this chapterBoard-style questions from Money and Credit, one at a time, marked against the answer key and marking points.Back to the full paper2025 board paper, set 32/3/1: every question, by section.

The question is transcribed from the official paper; figures are described in words. The solution, hints and chapter tag are ours. Spotted an error? Write tosupport@questionbuddy.in.