Question : Which committee recommended the establishment of the Industrial Finance Corporation of India (IFCI)?
Option 1: Hilton-Young Commission
Option 2: Tarlok Singh Committee
Option 3: V.K.R.V. Rao Committee
Option 4: Kaldor Committee
Correct Answer: Hilton-Young Commission
Solution : The correct answer is (a) Hilton-Young Commission.
The Hilton-Young Commission, officially known as the Royal Commission on Indian Currency and Finance, was formed in 1925 to review and recommend reforms for India's financial and monetary system. The commission, led by Lord Hilton-Young, submitted its report in 1926, which included recommendations for the establishment of specialized financial institutions to promote industrial development in India.
Based on the recommendations of the Hilton-Young Commission, the Industrial Finance Corporation of India (IFCI) was established in 1948. The IFCI was envisioned as a development finance institution aimed at providing long-term financial assistance to industrial projects in India.
