Option 1: 1935 -> The Reserve Bank of India (RBI), India's central bank, was established on April 1, 1935, in accordance with the provisions of the Reserve Bank of India Act, 1934. It was set up based on the recommendations of the Hilton Young Commission (1926). The RBI was initially privately owned but was nationalized in 1949. It serves as the banker to the government, regulates monetary policy, manages foreign exchange, and supervises the banking system in India. -> correct