NABARD stands for:
- A.National Board for Agriculture and Rural Development
- B.National Bank for Agriculture and Rural Development
- C.National Bureau for Agrarian and Regional Development
- D.National Bank for Agrarian Reform and Development
Correct answer
Explanation
The correct answer is B, National Bank for Agriculture and Rural Development. NABARD was set up in 1982 on the recommendation of the committee headed by B Sivaraman, and its head office is at Mumbai. It is the apex institution for rural credit: it refinances the loans given by cooperative banks and regional rural banks, supervises them, and funds rural infrastructure through the Rural Infrastructure Development Fund. It also promoted the self help group and bank linkage programme that took small credit to rural women.
Option A replaces bank with board, option C replaces it with bureau and changes agriculture to agrarian, and option D adds the word reform. All three are close enough to sound right to a candidate who has not read the full form. The word to hold on to is bank, because NABARD lends and refinances rather than merely advising.
Read the full article: Banking Terms and Abbreviations: Full Forms and Meanings
Practice Questions
View allIn banking, the full form of RTGS is
- A.Rapid Transfer Gross Scheme
- B.Rapid Transfer Gross Settlement
- C.Real Time Gross Settlement
- D.Real Time Gross Scheme
Show answer
RTGS is the system in which a transfer instruction is settled singly and immediately, rather than being held and netted off with others.
Read the full explanation →Which of the following is an instrument of monetary policy used by RBI? I. SLR II. MSS III. Corridor
- A.I and II
- B.II and III
- C.I, II and III
- D.I and III
Show answer
All three belong to the monetary policy toolkit of the Reserve Bank of India. SLR, the Statutory Liquidity Ratio, is the part of its deposits that a bank must keep with itself in cash, gold or approved securities, and raising or lowering it changes how much a bank can lend.
Read the full explanation →Which of the following is a qualitative tool used by RBI to control money supply?
- A.Bank Rate
- B.Moral Suasion
- C.Open Market Operations
- D.Cash Reserve Ratio
Show answer
The tools of the Reserve Bank are divided into quantitative tools, which change the total amount of credit in the system, and qualitative or selective tools, which change the direction in which that credit flows.
Read the full explanation →To improve internal control of banks, Reserve Bank of India has asked all banks to do what till 30 April 2018?
- A.To connect SWIFT with its Basic Banking Solution (CBS)
- B.To connect RTGS with their Core Banking Solution (CBS)
- C.To connect NEFT with its Basic Banking Solution (CBS)
- D.To connect MICR to their Basic Banking Solution (CBS)
Show answer
SWIFT is the international messaging network over which banks send payment and guarantee instructions across borders.
Read the full explanation →An IFSC code used for electronic funds transfer in India consists of how many characters?
- A.9
- B.11
- C.13
- D.16
Show answer
The Indian Financial System Code is an eleven character alphanumeric code that identifies a particular bank branch taking part in the electronic payment systems of the Reserve Bank of India.
Read the full explanation →