Enumerate the functions of Reserve Bank of India. Among them, explain the banking functions of Reserve Bank of India.

The functions of the Reserve Bank of India can be summarized and enumerated as under: Banking Functions Issue bank notes Monetary Policy Functions Public Debt Functions Foreign Exchange Management Banking Regulation & Supervision Regulation and Supervision of NBFCs Regulation & Supervision of Co-operative banks Payment and Settlement Functions Regulation of Derivatives and Money Market Instruments Consumer Protection Functions Financial Inclusion and Development Functions Banking Functions of Reserve Bank of India Section 17 of the RBI Act enables RBI to do banking business, such as accepting deposits, without interest, from any person. The other businesses, which the RBI may transact, are also mentioned in the said provision. It states that RBI may transact various businesses such as acceptance of deposits without interest from Central Government and State Governments, purchase, sale and rediscount of Bills of Exchange, short term Loans and Advances to banks, annual Contributions to National Rural Credit Funds, dealing in Derivatives, purchase and sale of Government Securities, purchase and sale of shares of State Bank of India, National Housing Bank, Deposit Insurance and Credit Guarantee Corporation, etc., keeping of deposits with SBI for specific purposes, making and issue of Banknotes, etc. Similarly, Section 18 facilitates the RBI to act as a 'Lender of Last Resort'; whereas Section 19 states the list of businesses which the RBI may not transact. This apart, the provisions of RBI Act enable the RBI to act as banker to Central Government and State Governments. Under Sections 20 and 21 the RBI shall have an obligation and right respectively to accept monies for account of Central Government and to make payments up to the amount standing to the credit of its account, and to carry out its exchange, remittance and other banking operations, including the management of public debt of the Union. In the case of State Governments, the said banking functions may be undertaken by way of an agreement between RBI and the State Government concerned as provided in Section 21-A of RBI Act. These agreements made between the RBI and the State Governments are statutory as they are required to be laid before the Parliament as soon as they are made.