Question

Consider the statements related to National Housing Bank. Which among the following is wrong?

• A. National Housing Bank is a statutory organisation set up by an Act of Parliament in 1987
• B. It does supervision and grievance redressal regarding Housing Finance Companies
• C. It provides financing and refinancing to Housing Finance Institutions and Direct Finance to general public
• D. It is wholly owned by RBI

Answer 1

Answer:

C. It provides financing and refinancing to Housing Finance Institutions and Direct Finance to general public

National Housing Bank (NHB) was set up by an Act of Parliament in 1987. NHB is an apex financial institution for housing.

The Committee of Secretaries considered' the recommendation and set up the High Level Group under the Chairmanship of Dr. C. Rangarajan, the then Deputy Governor, RBI to examine the proposal and recommended the setting up of National Housing Bank as an autonomous housing finance institution.

National Housing Bank (NHB), is the apex regulatory body for overall regulation and licensing of housing finance companies in India. It is under the jurisdiction of Ministry of Finance, Government of India. It was set up on 9 July 1988 under the National Housing Bank Act, 1987.

GOI wholly owns NHB from 1st May 2019, as Government of India brought all its shares from RBI as per the recommendation of Narasimham - II committee report of October 2001. National Housing Bank (NHB), was a wholly-owned subsidiary of Reserve Bank of India (RBI).