Nationalization of major banks occurred in which year?
Show answer & explanation
Correct answer: B
Explanation
Correct Answer: 1969
Explanation
On 19 July 1969, 14 major commercial banks in India were nationalized. The objective of this move was to extend banking services to a larger section of the population, provide credit to agriculture and small-scale industries, and support overall economic development.
Later, in 1980, six more banks were nationalized. However, 1969 is recognized as the year of the first major bank nationalization in India.
Key Points
• Fourteen major commercial banks were nationalized on 19 July 1969.
• The aim was to expand banking services across the country.
• Nationalization increased the availability of credit to agriculture, small industries, and rural areas.
• Six additional banks were nationalized in 1980.
Additional Facts
• At the time of nationalization, Indira Gandhi was the Prime Minister of India.
• Before nationalization, banking services were largely concentrated in urban areas.
• The number of rural bank branches increased significantly after nationalization.
Important Questions
Question: When were 14 major banks nationalized in India?
Answer: 19 July 1969.
Question: In which year did the second phase of bank nationalization take place in India?
Answer: 1980.