Nationalization and Development of Banking in India UPSC Prelims Quiz

1. Which nationalised bank was merged with Punjab National bank in 1993?

Correct! Wrong!

New Bank of India was merged with Punjab National Bank in 1993.

2. Who was the Prime Minister of India when Banking Nationalization was done in 1969?

Correct! Wrong!

Indira Gandhi was sitting Prime Minister when Nationalizatio of Bank were processed and completed in India.

3. How many associate banks merged with the State Bank of India (SBI) in 2017?

Correct! Wrong!

Five SBI associate banks along with Bhartiya Mahila Bank merged with SBI in April 2017.

4. When was the State Bank of India nationalised?

Correct! Wrong!

The State Bank of India was nationalized in 1955 during the tenure of PM Jawaharlal Nehru.

5. Which of these banks was nationalised in 1969?

Correct! Wrong!

Nationalization of Union Bank of India was completed in 1969.

6. With reference to Urban Cooperative Banks in India, consider the following statements:

Banking QUestion UPSC
Correct! Wrong!

Under the Cooperative Societies Act of 1912, co-op banks are registered. The Reserve Bank of India regulates cooperative banks. Therefore, statement 1 is false. The Reserve Bank of India regulates cooperative banks in accordance with the Banking Regulation Act of 1949 and the Banking Laws (Application to Cooperative Societies) Act of 1965. Therefore, statement 3 is true. Urban cooperative banks will now be treated on par with commercial banks, and a cooperative bank may issue equity shares, preference shares, or special shares to its members or to any other person residing within its area of operation, via public issue or private placements, with the prior approval of the Reserve Bank of India. Therefore, statement 2 is true.

7. To enable small value digital payments in offline mode using cards, wallets, and mobile devices, which government body has released the framework in January 2022?

Correct! Wrong!

The Reserve Bank of India released a framework to enable small value digital payments in offline mode using cards, wallets, and mobile devices.

8. A recent bank merger that has been announced includes Vijaya Bank, Dena Bank, and ______

Correct! Wrong!

The amalgamation of Vijaya Bank and Dena Bank with Bank of Baroda (BoB) came into effect from 1 April 2019.

9. Who launched UPI 2.0 in 2018?

Correct! Wrong!

The National Payments Corporation of India (NPCI) has launched the Unified Payments Interface (UPI) 2.0 in 2018.

10. What is the maximum amount of fund deposited under the Public Provident Fund?

Correct! Wrong!

The maximum amount that can be deposited in a financial year is Rs. 1.5 lakh. It is a 15-year scheme, which can be extended indefinitely in a block of 5 years.

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