With reference to 'Financial Stability and Development Council', consider the following statements:1.It is an organ of NITI Aayog.2.It is headed by the Union Finance Minister.3.It monitors macroprudential supervision of the economy.Which of the statements given above is/are correct?

1. A

   1 and 2 only

   Statement 1 calls FSDC an organ of NITI Aayog and statement 2 says it is headed by the Union Finance Minister. Statement 2 is true, but FSDC is a government council set up in 2010 after the Raghuram Rajan Committee, not an organ of NITI Aayog (created in 2015). 1 and 2 only is therefore not the key.

2. B

   3 only

   Statement 3 alone — macroprudential supervision of the economy — is correct but incomplete, because the chair of the Finance Minister is also correct. 3 only is not the key.

3. C

   2 and 3 only

   The Financial Stability and Development Council is headed by the Union Finance Minister and is the apex body for financial-stability and macroprudential coordination among RBI, SEBI, IRDAI, PFRDA and the Finance Ministry. It is not part of NITI Aayog. Statements 2 and 3 are correct; 1 is not. Hence (c) is the official key.

4. D

   1, 2 and 3

   Including statement 1 would treat FSDC as a NITI Aayog organ. That is false, so all three cannot be the key.

Summary. Official key is (c) 2 and 3 only. FSDC was created in 2010 to coordinate regulators on stability, development of the financial sector, and macroprudential supervision, including inter-regulatory issues and financial literacy. The Union Finance Minister chairs it; the RBI Governor is a member. NITI Aayog is a separate policy think tank and does not house FSDC. Statement 1 is the trap.