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The RBI issues currency notes under the
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- Fixed Fiduciary System
- Maximum Fiduciary System
- Fixed Minimum Reserve System
- Proportional Reserve System
- Fixed Fiduciary System
Correct Option: C
The Reserve Bank of India has the sole right to issue bank notes of all denominations. The distribution of one rupee notes and coins and small coins all over the country is undertaken by the Reserve Bank as agent of the Government. The system as it exists today is known as the minimum reserve system.
