In which year was the Reserve Bank nationalised?

Question

UnlockIAS · Accepted Answer

Correct — A, 1949. The Reserve Bank of India, originally set up as a privately-owned shareholders' bank under the RBI Act, 1934, was nationalised on 1 January 1949 — transferring its ownership entirely to the Government of India.

Why the other options are wrong — (b) 1935 is when the RBI itself was established and commenced operations under the RBI Act, 1934 — not when it was nationalised; at that point it was still a shareholder-owned bank.  (c) 1969 is the year of the major nationalisation of 14 large commercial banks (State Bank of India excepted) — a separate, later event from the RBI's own 1949 nationalisation.  (d) 1992 has no connection to the RBI's ownership history; it is more associated with securities-market and financial-sector reforms of that period, not with nationalisation.

Concept: The Reserve Bank of India began in 1935 as a privately owned central bank under the RBI Act, 1934. It was nationalised on 1 January 1949, transferring full ownership to the Government of India and making it a fully state-owned central bank — distinct from the later 1969 and 1980 waves of nationalisation that brought commercial banks under government ownership.

State PCS 2022 Q85 — Economy PYQ with Answer

State PCS 2022 Q85 — Economy PYQ with Answer