Which of the following is not a function of Central Bank?

CA Foundation · Business Economics · MTP · May 2026
Which of the following is not a function of Central Bank?
(A) A. Enjoys monopoly of note issue
(B) B. Acts as the banker's bank
(C) C. Creation of credit
(D) D. Lender of the last resort

Suggested Answer and Working Notes:

Correct Answer: Option (C)

C. Creation of credit

Topics: Money Market

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