With reference to 'Financial Stability and Development Council', consider the following statements: 1. It is an organ of NITI Aayog. 2. It is headed by the Union Finance Minister. 3. It monitors macroprudential supervision of the economy. Which of the statements given above is/are correct?
- A1 and 2 only
- B3 only
- C2 and 3 onlyCorrect
- D1, 2 and 3
Explanation
With reference to the 'Financial Stability and Development Council' (FSDC):
-
It is an organ of NITI Aayog. This statement is incorrect. The FSDC was established in 2010 by the Government of India as an apex-level body for maintaining financial stability, enhancing inter-regulatory coordination, and promoting financial sector development. It is an independent body and not an organ of NITI Aayog.
-
It is headed by the Union Finance Minister. This statement is correct. The FSDC is chaired by the Union Finance Minister.
-
It monitors macroprudential supervision of the economy. This statement is correct. One of the key objectives of the FSDC is to monitor macroprudential supervision of the economy, including the functioning of large financial conglomerates, and to address inter-regulatory coordination issues within the financial sector.
Therefore, statements 2 and 3 are correct.
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