[Solved] Which of the following is a characteristic feature of Regional Rural Banks (RRBs) in India? — Ans: They are jointly owned by the Central Government, State Government, and Sponsor... | Financial Awareness

Financial Awareness - Risk, Stability & Emerging Finance

Which of the following is a characteristic feature of Regional Rural Banks (RRBs) in India?

AThey primarily serve urban corporate clients.

BThey are jointly owned by the Central Government, State Government, and Sponsor Banks.

CThey operate only in metropolitan cities.

DThey are not regulated by the Reserve Bank of India.

Step-by-Step Solution

Step 1: Understand ownership of RRBs
RRBs are jointly owned by the Central Government, concerned State Government, and Sponsor Banks (usually Public Sector Banks).
Step 2: Analyze options
They are jointly owned by the Central Government, State Government, and Sponsor Banks. correctly states the ownership structure. RRBs serve rural areas, not urban corporates, operate outside metropolitan cities, and are regulated by RBI.
Final Answer:
They are jointly owned by the Central Government, State Government, and Sponsor Banks. → Option B
Quick Check:
RRBs ownership = Central, State, Sponsor Banks joint ownership ✅

Quick Trick: RRBs = Joint ownership + rural focus.

Common Mistakes:

Master "Risk, Stability & Emerging Finance" in Financial Awareness

Start learning the concept with an interactive lesson.

More Financial Awareness Quizzes

Which of the following is a characteristic feature of Regional Rural Banks (RRBs) in India?