RURAL Banking 2024
Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for Rural Banking (Elective) — CAIIB.
One-liners from this chapter
Free sample — 8 of 66 rapid-fire Q&A cards.
What is the primary objective of rural banking in India?
Rural banking aims to extend formal financial services to rural populations, enabling credit access, deposit mobilization, and financial inclusion for agricultural and allied activities.
What is the Narasimham Committee (1991) recommendation related to rural credit?
Reducing directed credit and freeing interest rates for rural loans.
Which committee recommended the establishment of Regional Rural Banks (RRBs) in India?
The Narasimham Working Group (1975) recommended the establishment of Regional Rural Banks to provide credit and banking facilities in rural areas at lower cost.
What is the full form of NABARD?
National Bank for Agriculture and Rural Development.
Under which Act were Regional Rural Banks established in India?
Regional Rural Banks were established under the Regional Rural Banks Act, 1976, with the first RRB (Prathama Bank) set up in Uttar Pradesh on 2nd October 1975.
In which year was NABARD established?
NABARD was established in 1982.
What is the ownership pattern of Regional Rural Banks?
RRBs have a tripartite ownership: Central Government holds 50%, sponsor bank holds 35%, and the concerned State Government holds 15% of the equity.
What is the PSL sub-target for small and marginal farmers?
8% of Adjusted Net Bank Credit (ANBC).
Video classes for this chapter
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