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Bank Mergers & Amalgamations

Introduction

Bank mergers and amalgamations are among the most frequently asked current-affairs-based topics in Banking Awareness for SBI, IBPS, and RRB exams. Questions are usually direct and test your knowledge of which banks merged, the anchor bank, and the year of merger.

This pattern is highly scoring because the answers are factual and fixed.

Pattern: Bank Mergers & Amalgamations

Pattern

Identify the anchor bank, the merged banks, and the year in which the merger took place.

Questions are typically framed as direct recall or simple matching.

Step-by-Step Example

Question

Oriental Bank of Commerce and United Bank of India were merged with which bank?

Options:

  • A. Bank of Baroda
  • B. Canara Bank
  • C. Punjab National Bank
  • D. Union Bank of India

Solution

  1. Step 1: Recall the major PSU bank mergers

    In April 2020, the Government of India implemented large-scale consolidation of public sector banks.

  2. Step 2: Identify the anchor bank

    Oriental Bank of Commerce and United Bank of India were merged into Punjab National Bank.

  3. Final Answer:

    Punjab National Bank → Option C

  4. Quick Check:

    After the merger, PNB became the second-largest public sector bank in India ✅

Quick Variations

This pattern may also appear as:

  • 1. Which bank became the anchor bank after the merger of certain PSU banks?
  • 2. The merger of the following banks came into effect in which year?
  • 3. Match the following: Anchor Bank with Merged Banks.

Trick to Always Use

  • Step 1 → Remember mergers year-wise, especially 2017 and after.
  • Step 2 → The largest or most prominent bank is usually the anchor bank.
  • Step 3 → Revise 2020 PSU bank mergers thoroughly for exams.

Summary

Summary

  • Always identify the anchor bank first.
  • Focus on the merged banks and the year of amalgamation.
  • Most exam questions are direct and factual.
  • 2020 public sector bank mergers are the most important.

Example to remember:
Oriental Bank of Commerce + United Bank of India → Punjab National Bank (2020)

Practice

(1/5)
1. Which of the following banks became the anchor bank after the merger of Andhra Bank and Corporation Bank in 2020?
easy
A. Union Bank of India
B. Canara Bank
C. Punjab National Bank
D. Bank of Baroda

Solution

  1. Step 1: Recall the 2020 PSU bank consolidation

    In 2020, several public sector banks were merged to strengthen banking efficiency.

  2. Step 2: Identify the anchor bank

    Andhra Bank and Corporation Bank were amalgamated into Union Bank of India.

  3. Final Answer:

    Union Bank of India → Option A

  4. Quick Check:

    Union Bank continued operations with Andhra Bank and Corporation Bank as merged entities ✅
Hint: Remember that Union Bank of India absorbed both Andhra Bank and Corporation Bank in 2020.
Common Mistakes: Confusing this merger with Canara Bank’s amalgamation.
2. Which bank was formed after the merger of Dena Bank and Vijaya Bank?
easy
A. Bank of Baroda
B. Union Bank of India
C. Punjab National Bank
D. Indian Bank

Solution

  1. Step 1: Recall pre-2020 bank mergers

    Before the large 2020 consolidation, some mergers were carried out in 2019.

  2. Step 2: Identify the anchor bank

    Dena Bank and Vijaya Bank were merged with Bank of Baroda.

  3. Final Answer:

    Bank of Baroda → Option A

  4. Quick Check:

    After the merger, Bank of Baroda became one of the largest PSU banks in India ✅
Hint: Dena + Vijaya always point to Bank of Baroda.
Common Mistakes: Mixing this merger with the 2020 three-bank consolidations.
3. Allahabad Bank was merged into which public sector bank?
easy
A. Canara Bank
B. Indian Bank
C. Union Bank of India
D. Punjab National Bank

Solution

  1. Step 1: Recall individual bank amalgamations

    Some mergers involved only one smaller bank merging into a larger one.

  2. Step 2: Identify the receiving bank

    Allahabad Bank was merged with Indian Bank.

  3. Final Answer:

    Indian Bank → Option B

  4. Quick Check:

    Post-merger, Indian Bank expanded its branch network significantly ✅
Hint: Allahabad Bank → Indian Bank (single-bank merger).
Common Mistakes: Assuming Allahabad Bank was part of a three-bank merger.
4. Which of the following banks acted as the anchor bank after the merger of Syndicate Bank?
medium
A. Punjab National Bank
B. Union Bank of India
C. Canara Bank
D. Indian Bank

Solution

  1. Step 1: Recall the list of merged banks

    Syndicate Bank was included in the 2020 PSU bank consolidation.

  2. Step 2: Identify the anchor bank

    Syndicate Bank was merged into Canara Bank.

  3. Final Answer:

    Canara Bank → Option C

  4. Quick Check:

    After the merger, Canara Bank’s customer base and branch network increased ✅
Hint: Syndicate Bank always pairs with Canara Bank.
Common Mistakes: Confusing Syndicate Bank’s merger with PNB-related mergers.
5. Which bank emerged as the anchor bank after the merger of Oriental Bank of Commerce and United Bank of India?
medium
A. Canara Bank
B. Union Bank of India
C. Bank of Baroda
D. Punjab National Bank

Solution

  1. Step 1: Recall the three-bank merger group

    In 2020, some mergers involved two banks merging into a larger anchor bank.

  2. Step 2: Identify the anchor bank

    Oriental Bank of Commerce and United Bank of India were merged into Punjab National Bank.

  3. Final Answer:

    Punjab National Bank → Option D

  4. Quick Check:

    PNB became the second-largest PSU bank after this amalgamation ✅
Hint: OBC + United Bank always point to PNB.
Common Mistakes: Mixing this merger with the Union Bank of India consolidation.

Mock Test

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