Question
With reference to the ‘One State One RRB’, consider
the following statements: 1. It is a strategic initiative led by the National Bank for Agriculture and Rural Development (NABARD). 2. It aims to restructure and consolidate Regional Rural Banks (RRBs) within the same state in India. Which of the statements given above is/are correct?ÂSolution
In News: Recently, the Department of Financial Services (DFS) has notified amalgamation of 26 Regional Rural Banks (RRBs) on the principles of ‘One State One RRB’. • It is the fourth phase of amalgamation of RRBs. Statement 1 is not correct • ‘One State, One RRB’ Policy is a strategic initiative led by the Department of Financial Services (DFS) under the Ministry of Finance. Statement 2 is correct • ‘One State, One RRB’ Policy aims to restructure and consolidate Regional Rural Banks (RRBs) in India, and to boost rural banking efficiency, enhance financial inclusion, and optimize operational costs through the amalgamation of RRBs within the same state.
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