The correct answer is 2004.Market Stabilisation Scheme, which is an instrument for monetary management, was introduced in 2004.The Market Stabilization Scheme (MSS) is a monetary policy tool used by the RBI to manage the money supply in the economy.Market Stabilisation Scheme introduced because of During 2002-2004, there were huge capital inflows into India. This led to an appreciation of the rupee.The bills or bonds issued under MSS are known as Market Stabilisation bonds.Market Stabilisation Scheme is used when there is high liquidity in the system.Additional InformationThe Market Stabilisation bonds are issued by way of auctions conducted by the Reserve Bank of India.The Reserve Bank decides and notifies the amount, tenure, and timing of issuance of such treasury bills and dated securities.The Reserve Bank first introduced MSS bonds in February 2004 when the country was flushed with dollar inflows, which needed to be converted into the rupee.Important PointsThe money obtained under MSS should be kept with the RBI. It should not be transferred to the government. MSS, there is an MoU between the government and the RBI about the total limit of MSBs to be issued by the RBI during a year.The securities or bonds/t-bills issued under MSS are purchased by financial institutions.The money procured from selling bonds under MSS is kept with the RBI. At the same time, interest payments have to be given to the institutions that buy bonds.