Group – B
(Indian Financial System)
Full Marks: 80
Time: 3 hours
The figures in the margin indicate full marks for the questions
1. (a) Discuss the importance of financial system in Economic Development of a country like India. 16
(b) “SEBI is said to be the prime regulator of Indian Capital Market”. Justify the statement with examples. 16
2. (a) Discuss how the Indian Money Market is regulated by RBI. 16
(b) What do you mean by New Issue Market (NIM)? Discuss the role played by the brokers of stock exchanges and the bankers in the New Issue Market. 5+11=16
3. Write short notes on any two of the following: 8×2=16
a) Merchant bankers.
b) Insurance Regulatory and Development Authority (IRDA).
c) Advantages of Mutual Funds.
d) State Financial Corporations.
4. (a) What are the sources of short term funds available in India? Explain any three of such sources. 4+12=16
(b) What are Deep Discount Bonds? How do they differ from Zero Interest bonds? Explain. 6+10=16
5. (a) Discuss the importance of foreign capital for economic development of India. What initiatives are taken by the Modi Govt. to attract more foreign capital to India? 8+8=16
(b) What do you mean by External Commercial Borrowings? Discuss the importance of ECB as a source of foreign capital. 6+10=16