Tamilnad Mercantile Bank, which marked its 105th Foundation Day in November 2026, was originally established under which name?
- A.Nadar Bank Limited
- B.Travancore Mercantile Bank
- C.South Indian Bank Limited
- D.Pandyan Bank Limited
Correct answer
Explanation
The correct answer is Nadar Bank Limited. The Vice President recalled at the 105th Foundation Day celebrations that the institution now known as Tamilnad Mercantile Bank came into being in 1921 under that name, and praised its growth from a modest beginning into a major banking institution. Options B, C and D are incorrect because none of them was the original name of this bank; they are simply plausible sounding names of the kind an examiner adds to test recall. Candidates should link the name with the other facts stated on the occasion: the bank today has 632 branches across 17 States and four Union Territories, serves over 53 lakh customers and records total business of more than Rs 1.30 lakh crore. The celebrations were held at Thoothukudi in Tamil Nadu, the town where the bank was founded and where the Vice President asked it to remain rooted.
Read the full article: Vice President Attends Tamilnad Mercantile Bank 105th Day
Practice Questions
Who attended the 105th Foundation Day celebrations of Tamilnad Mercantile Bank at Thoothukudi as chief guest?
- A.The President of India
- B.The Vice President of India
- C.The Union Finance Minister
- D.The Governor of the Reserve Bank of India
Show answer
The correct answer is the Vice President of India, C. P. Radhakrishnan, who graced the 105th Foundation Day celebrations of Tamilnad Mercantile Bank at Thoothukudi and called upon the bank to aspire to rank among India’s leading private sector banks.
Read the full explanation →How many branches does Tamilnad Mercantile Bank operate, as stated at its 105th Foundation Day?
- A.432 branches in 12 States
- B.632 branches in 17 States and four Union Territories
- C.832 branches in 21 States
- D.532 branches in 15 States and two Union Territories
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This network figure was cited by the Vice President at Thoothukudi as a measure of how far the bank has travelled from its beginning in 1921 as Nadar Bank Limited.
Read the full explanation →Under CGFMU, the annual guarantee fee for lending institutions has been reduced to what level?
- A.0.25 per cent
- B.0.50 per cent
- C.0.75 per cent
- D.1.25 per cent
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A lower fee reduces the cost a lending institution has to carry for buying guarantee cover, and that cost is ultimately reflected in what the micro borrower pays.
Read the full explanation →What corpus has the Union Cabinet approved for the Credit Guarantee Fund for Micro Units?
- A.Rs 3,000 crore
- B.Rs 4,111 crore
- C.Rs 5,000 crore
- D.Rs 7,500 crore
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The Cabinet cleared this corpus while extending the Credit Guarantee Fund for Micro Units up to 31 March 2031, and the Ministry of Finance expects it to support Mudra lending of Rs 12.6 lakh crore over the five years.
Read the full explanation →Through which body is the CGFMU guarantee extended to lending institutions?
- A.Small Industries Development Bank of India
- B.National Credit Guarantee Trustee Company Limited
- C.National Bank for Agriculture and Rural Development
- D.Reserve Bank of India
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The Credit Guarantee Fund for Micro Units gives lending institutions cover against default risk, and that cover is routed through NCGTC, which acts as the trustee for the fund.
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