The Central Accounts Section of Reserve Bank of India is located at________

The correct answer is Nagpur.

Key Points

• The Central Accounts Section (CAS) of the Reserve Bank of India (RBI) is located in Nagpur.
• This section is responsible for managing the government’s banking transactions.
• The CAS in Nagpur handles the central accounting of receipts and payments for the Government of India.
• It also oversees the maintenance of the General Government Account of the Central Government.

Additional Information

• Reserve Bank of India (RBI)
  • The RBI is India’s central banking institution, which controls the issuance and supply of the Indian rupee.
  • It plays a crucial role in the development strategy of the Government of India.
  • Established on April 1, 1935, it was nationalized on January 1, 1949.
  • The RBI's main functions include regulating and supervising the financial system, managing foreign exchange, issuing currency, and acting as the banker to the government.
• General Government Account
  • This account consolidates the financial transactions of the Central Government, including receipts and expenditures.
  • It ensures the proper allocation and monitoring of government funds.
  • Maintained by the Central Accounts Section of the RBI, it is crucial for fiscal management.
• Government Receipts and Payments
  • These include all financial transactions of the government related to tax collection, non-tax revenue, and capital receipts.
  • Payments consist of expenditure on various government schemes, salaries, subsidies, and infrastructure projects.
  • The RBI ensures the smooth processing and accounting of these transactions.
• Public Financial Management System (PFMS)
  • PFMS is an electronic fund tracking system that monitors funds disbursed under government schemes.
  • It integrates with the Central Accounts Section to ensure transparency and accountability in financial management.
  • PFMS also aids in the direct transfer of funds to beneficiaries’ bank accounts, reducing leakages.