Economics • Banking & FinanceEasy
What is the primary role of the 'Export-Import Bank of India (EXIM Bank)'?
A. To regulate foreign exchange transactions and retail remittance apps
B. To finance, facilitate, and promote India's international trade and foreign commerce✓ Correct Answer
C. To act as a lender of last resort for distressed rural cooperative banks
D. To provide insurance cover for bank deposits across India
💡 Solution & Explanation
The Export-Import Bank of India functions as the principal financial institution for coordinating and promoting international trade and cross-border commercial transactions. Established under an Act of Parliament in 1982, it assists Indian exporters with lines of credit and financial advisory services. Distractors pointing to retail banking regulators or deposit insurance agencies confuse EXIM Bank with institutions like the Reserve Bank of India or DICGC.
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