Explanation:

- The RBI has proposed that to set up a small finance bank, a minimum equity capital of Rs 200 crore is required.

- This is under the "On tap" license regime.

- "On tap" means applications for licenses can be submitted at any time, not just during a specific window.

- Option 2 ("In Tap"), Option 3 ("For tap"), Option 4 ("Of tap"), and Option 5 ("From tap") are not valid phrases in this RBI context.

- The correct phrase is "On tap license regime" for such permissions by RBI.

Correct Answer:

- Option 1: On tap