BANKING AFFAIRS

BANKING GENERAL KNOWLEDGE

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Committee related with the merger of regional rural banks with their sponsor banks is____
A
Khusro Committee
B
Khan Committee
C
Malegam Committee
D
Hilton Young Committee
Explanation: 

Detailed explanation-1: -Which committee recommended the merger of Regional Rural Banks with their respective Sponsor Banks? Explanation: The Agricultural Credit Review Committee, Khusro Committee, 1989 recommended the merger of Regional Rural Banks with their respective Sponsor Banks.

Detailed explanation-2: -The function of Khusro committee under the chairmanship of Prof. A.M. Khusro was to examine the problems of agricultural and rural credits, measure the structural and operational deficiencies and recommend major systematic improvements.

Detailed explanation-3: -Notes: The Agricultural Credit Review Committee (Khusro Committee), 1989 recommended the merger of Regional Rural Banks with their respective Sponsor Banks. It highlighted the weakness of RRBs and their non-viability.

Detailed explanation-4: -The Narasimham Committee had recommended the creation of Regional Rural Banks.

Detailed explanation-5: -As a result, five RRBs were set up on 2 October 1975 on the recommendations of the Narsimhan Committee on Rural Credit, during the tenure of Indira Gandhi’s government. The purpose was to include rural areas into the economic mainstream since around 70% of the Indian population was rural.

There is 1 question to complete.