Section Section 33
2*
section 33. 2*
38. Obligations of Government and the Bank in respect of rupee coin: ~The [Central Government] shall undertake not 4*** to put into circulation any rupees, except through the Bank, S*** and the Bank shall undertake not to dispose of rupee coin otherwise than for the purposes of circulation 6***_ 39. Obligation to supply different forms of currency. 1) The Bank shall issue rupee coin on demand in exchange for bank notes and currency notes of the Government of India and shall issue currency notes or bank notes on demand in exchange for coin which is legal tender under the Indian Coinage Act; 1906 (3 of 1906). (2) The Bank shall, in exchange for currency notes or bank notes of ?[two] rupees or upwards, supply currency notes or bank notes of lower value or other coins which are legal tender under the Indian Coinage Act; 1906 (3 of 1906), in such quantities as may, in the opinion of the Bank; be required for circulation; and the 3[Central Government] shall supply such coins to the Bank on demand: If the ?[Central Government] at any time fails to supply such coins, the Bank shall be released from its obligations to supply them to the public. '[40. Transactions in foreign exchange:~The Bank shall sell to or buy from any authorised person who makes demand in that behalf at its office in Bombay, Calcutta, Delhi 0 Madras %[or at such o its branches as the Central Government may, by order determine], foreign exchange at such rates of exchange and on such conditions as the Central Government may from time to time by general O special order determine, having regard So far as rates of exchange are concerned to its obligations to the International Monetary Fund: Provided that no person shall be entitled to demand to buy O1 sell foreign exchange of a value less than two lakhs of rupees. Explanation.~In the section authorised person means person who is entitled by or under the "[Foreign Exchange Regulation Act, 1973 (46 of 1973)], to buy, or as the case may be, sell, the foreign exchange to which his demand relates:] 41A. [Obligation to provide remittance between India and Burma]-~Omitted by the Reserve Bank of India (Amendment) Act; 1947 (11 of 1947), s: 22 (w.ef: 1-4-1947). Earlier it was inserted by the M.O. 1937. 42. Cash reserves of scheduled banks to be kept with the Bank. _"[(2) Every bank included in the Second Schedule shall maintain with the Bank an average daily balance the amount of which shall not
1. Subs. by Act 38 of 1956, s. 4, for
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