History of Banking — Set 6
Banking · बैंकिंग का इतिहास · Questions 51–60 of 60
Which bank is often called the 'Mother of all Banks' in India?
Correct Answer: D. Reserve Bank of India
The Reserve Bank of India is called the central bank and the 'Mother of all Banks' because it regulates all other banks. It sets the rules and provides liquidity support when needed. It is the apex body of the Indian financial system.
What was the name of the first bank to be managed solely by Indians, established in 18Faizabad?
Correct Answer: B. Oudh Commercial Bank
Oudh Commercial Bank was the first bank with limited liability to be managed by Indians. It was founded in 1881 at Faizabad. It was a significant step toward indigenous banking before PNB was formed.
In which year did the Punjab National Bank start its operations?
Correct Answer: D. 1894
Punjab National Bank started its operations in 1894 in Lahore. It was the first bank to be established with Indian capital and solely Indian management. Lala Lajpat Rai was one of its primary founders.
Which of the following is the largest public sector bank in India today?
Correct Answer: C. State Bank of India
State Bank of India (SBI) is the largest public sector bank in India in terms of assets and branches. It has a presence in almost every corner of the country. It is also a Fortune 500 company.
In banking, what does the 'Imperial Bank of India' refer to in the modern context?
Correct Answer: B. State Bank of India
The Imperial Bank of India was the predecessor to the State Bank of India. It was formed by merging three presidency banks in 1921. It was nationalized and renamed as SBI in 1955.
Which was the first Indian bank to open a branch on foreign soil (London, 1946)?
Correct Answer: A. Bank of India
Bank of India was the first Indian bank to open an overseas branch in London in 1946. This marked the beginning of global expansion for Indian banks. Since then, many Indian banks have established a global presence.
What was the main reason for nationalizing banks in 1969?
Correct Answer: D. To promote social welfare and rural credit
The main goal of nationalization was to ensure that credit reached the poor and rural sectors. Previously, banks were focused on lending only to large industries. This shift helped in agricultural and small-scale business growth.
Which was the first bank in India to introduce an ATM in 1987?
Correct Answer: B. HSBC
HSBC (Hongkong and Shanghai Banking Corporation) was the first to introduce the ATM in India in 1987. This was done in Mumbai. It transformed the way people withdrew money and managed accounts.
Which act gives the RBI the power to issue currency in India?
Correct Answer: D. Reserve Bank of India Act 1934
The RBI Act of 1934 gives the Reserve Bank the sole right to issue banknotes in India. The government only issues one-rupee notes and coins. This ensures a centralized control over the money supply.
In which city was the first Presidency bank established?
Correct Answer: A. Calcutta
The first Presidency bank was the Bank of Bengal, established in Calcutta in 1806. Later, presidency banks were also set up in Bombay (1840) and Madras (1843). These three banks were the pillars of British-era banking.