In India, the central bank’s function as the ‘Banker to banks’ usually refers to which of the following?

1. Lending to the banks if they default or go bankrupt.

2. Providing short-term loans and advances to select banks.

3. Supervising and regulating the banking sector of India.

Select the correct answer using the code given below.

1
1 and 2 only
2
2 only
3
2 and 3 only
4
More than one of the above
5
None of the above

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