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Question : Which of the following institutions is responsible for regulating and supervising the functioning of regional rural banks in India?

 

Option 1: Reserve Bank of India (RBI)

Option 2: Securities and Exchange Board of India (SEBI)

Option 3: National Bank for Agriculture and Rural Development (NABARD)

Option 4: None of the above


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Team Careers360 13th Jan, 2024
Answer (1)
Team Careers360 25th Jan, 2024

Correct Answer: National Bank for Agriculture and Rural Development (NABARD)


Solution : The correct answer is (c). National Bank for Agriculture and Rural Development (NABARD).

NABARD was established in 1982 with the objective of promoting and developing rural banking in India. NABARD has a separate department for supervision, which is responsible for conducting statutory inspections of RRBs. NABARD also provides technical and financial assistance to RRBs to help them improve their operations.

The Securities and Exchange Board of India (SEBI) is the regulatory body for the securities market in India. SEBI does not have any direct regulatory powers over RRBs.

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