Explanation:

- The Reserve Bank of India (RBI) is responsible for formulating the credit policy in India.

- Correct Answer: Option 1 - RBI

- The Securities and Exchange Board of India (SEBI) regulates the securities markets and does not deal with credit policy.

- The National Bank for Agriculture and Rural Development (NABARD) focuses on providing credit for the development of agriculture and rural areas.

- The Finance Ministry in India oversees fiscal policy, budgeting, and taxation but not directly the credit policy.