(i) The government of India passed in 1951 the State Financial Corporations Act and SFCs were set up in many states.
(ii) SFCs are mainly intended for the development of small and medium industrial units within their respective states. 

The functions of IDBI fall into two groups,
(i) Assistance to other financial institutions; and
(ii) Direct assistance to industrial concerns either on its own or in participation with other institutions.

i. Assistance to industries
ii. Provision of foreign currency loans
iii. Merchant banking
iv. Letter of credit
v. Project promotion
vi. Housing loans
vii. Leasing operations

(i) RBI introduced the Banking Ombudsman Scheme in 1995.
(ii) Under this scheme, the complainants can file their complaints in any form, including online and can also appeal to the Ombudsman against the awards and the other decisions of the Banks.

The banks can borrow from the RBI by keeping eligible securities as collateral at the time of need or crisis, when there is no other source.

(i) Issues currency
(ii) Banker to the government
(iii) collects receipts of funds and makes payments on behalf of the government
(iii) Regulator of Indian Banking system
(iv) Custodian of Forex
(v) Controller of credit

(i) Commercial banks provide locker facilities to its customers for safe custody of jewellery, shares, debentures, and other valuable items.
(ii) This minimizes the risk of loss due to theft at homes. Banks are not responsible for the items in the lockers.

(i) It refers to deposits that are made for certain committed period of time.
(ii) Banks pay higher interest on time deposits.
(iii) These deposits can be withdrawn only after a specific time period by providing a written notice to the bank.

(i) To maintain an expert staff to study all questions on agricultural credit.
(ii) To provide expert advice to Central and State Government, State Co-operative Banks.
(iii) To finance the rural sector through eligible institutions and to co-ordinate them.

(i) It aims to control and regulate the purposes for which credit is granted by commercial banks.
(ii) It is of 2 types: variable portfolio ceiling and variable capital asset ratio

(i) The Central Bank purchases and sells Government securities and proper eligible securities like bills and securities of private concerns.
(ii) This is called Open Market operation.

(i) SLR is the amount which a bank has to keep with itself in the form of cash, gold or approved securities.
(ii) CRR is the proportion of deposits which the bank has to keep with RBI in the form of cash.

(i) Central bank is the monetary authority that manages a state's currency, money supply, and interest rate
(ii) It oversees the commercial banking system

(i) It means multiplication of loans and advances.
(ii) The power of Commercial banks to create deposits through expanding their loans and advances is known as Credit Creation.

A Commercial bank is a financial institution that accepts deposits and advances loans and are profit motivated.