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Who are the primary participants in the Call Money and Notice Money Markets in India?

easy Q13 of 15
Financial Awareness - Risk, Stability & Emerging Finance
Who are the primary participants in the Call Money and Notice Money Markets in India?
AForeign exchange dealers
BOnly non-banking financial companies
CIndividual investors
DBanks and financial institutions
Step-by-Step Solution
  1. Step 1: Identify participants

    The question tests knowledge of who participates in these short-term money markets.
  2. Step 2: Apply the concept

    Primary participants are banks and financial institutions; NBFCs and individuals do not mainly participate.
  3. Final Answer:

    Banks and financial institutions → Option D
  4. Quick Check:

    Banks and financial institutions = correct ✅
Quick Trick: Remember, these markets are interbank and institutional in nature.
Common Mistakes:
  • Assuming NBFCs or individuals are main participants.
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