Official Answer Key & Detailed Solution
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Correct Answer: Option (D) — Neither 1 nor 2
Concept & Option Breakdown
Standard Reference VerifiedStatement 1 is incorrect: The Reserve Bank of India was nationalized on 1st January, 1949 under the RBI (Transfer to Public Ownership) Act, 1948. Statement 2 is incorrect: The internal and external borrowing programmes of the Government of India are managed by the Department of Economic Affairs (DEA), Ministry of Finance, along with the RBI, not the Department of Expenditure.
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