UPSC Prelims 2024 · GS Paper 1 · Q52

Economy

Hard · Money market instruments and access

Consider the following statements:

1. Access to the Reserve Bank of India's Liquidity Adjustment Facility (LAF) is restricted to scheduled commercial banks and standalone Primary Dealers; Non-Banking Financial Companies (NBFCs) cannot participate in it directly.

2. Foreign Institutional Investors (FIIs) are permitted to hold Government Securities (G-Secs), subject to investment limits prescribed by the RBI/SEBI.

3. Stock exchanges in India maintain separate trading platforms/segments for corporate debt securities, distinct from their equity trading platforms.

How many of the above statements are correct?