HISTORY OF RBI

Presented By:

Kinjal Mehta
Mabeesa
Rajashree
Parte
 History of RBI

It was set up on the recommendations of the Hilton Young

Commission.

Established in 1st April1935 during the British Rule, in

accordance with the provisions of the Reserve bank of India act
1934.

It was started as Share-Holders Bank with a paid up capital of

5 crores.

The original share capital was divided into shares of 100 each
fully paid, which were initially owned entirely by private
shareholders
 History of RBI

Initially it was located in Kolkata.

It moved to Mumbai in 1937.

Since Nationalization in 1949, the

Reserve Bank is fully owned by the
Government of India.
 History of RBI
Following India's independence on 15 August
1947, the RBI was nationalized on 1 January
1949.

Its first governor was sir Osborne A. Smith.

First Indian governor was Sir Chintamani

Deshmukh.

.
First board of directors
of RBI
How was RBI established
The Reserve Bank of India was founded on 1 April
1935 to respond to economic troubles after the
First world War

RBI was conceptualized based on the guidelines

presented the Central Legislative Assembly
passed these guidelines as the RBI Act 1934.

RBI was conceptualized as per the guidelines,

working style and outlook presented by Dr. B R
Ambedkar in his book titled The Problem of the
Rupee Its origin and its solution and presented
to the Hilton Young Commission.
 History of RBI
The original choice for the seal of RBI was The East
India Company Double Mohur, with the sketch of
the Lion and Palm Tree.

However it was decided to replace the lion with the

tiger, the national animal of India.

The RBI also acted as Burma's central bank, except

during the years of the Japanese occupation of
Burma (194245), until April 1947, even though
Burma seceded from the Indian Union in 1937.
 History of RBI

After the Partition of India in 1947, the bank

served as the central bank for Pakistan until June
1948 when the State Bank of Pakistan
commenced operations.

Though set up as a shareholders bank, the RBI

has been fully owned by the Government Of India
since its nationalization in 1949
 Current functions of RBI

Monopoly power of note-issue

Bankers bank

Controller of credit

Banker to the government

 Current functions of RBI

Custodian of foreign exchange

reserves

Promotional and developmental

functions

Regulator of domestic financial

institutions
Re- oriented functions of
RBI

Ownership functions

NBFCs

Technology up gradation