Question

Bank nationalization was done by

• A. Rajiv Gandhi
• B. Jawaharlal Nehru
• C. Indira Gandhi
• D. Morarji Desai

Answer 1

Answer:

C. Indira Gandhi

The development of the banking sector can be divided into three phases

• Phase I : The first phase, It lasted from 1770 to 1969.
• Phase II : Nationalization phase from 1969 onwards. It lasted until 1991.
• Phase III : The liberalization or banking sector reform phase. It started in 1991 and continues to flourish till date.

Phase 1 Bank Nationalization:

• Bank nationalization was done by - Indira Gandhi
• The Act passed for bank nationalization : Banking companies acquisition and transfer of property act of 1969
•  During the first phase, on 19 July 1969, Indira Gandhi nationalized 14 banks with a share capital of Rs 50 crore.

Phase 1:

• Prime Minister : Indira Gandhi
• Financial Minister : Indira Gandhi
• President : VV Giri
• RBI governor : LK Jha
• Five year plan : 4

Second Phase Bank Nationalization:

• Took place on - 15th April, 1980
• Indira Gandhi nationalized 6 banks with a share capital of Rs.200 crores

During the second phase

• Prime Minister : Indira Gandhi
• Financial Minister : R Venkitaraman
• President : Neelam Sanjeeva Reddy
• RBI Governor : I G Patel
• Five Year Plan : 6