Question

Consider the following statements.

A) The committee on banking sector reforms was appointed by P. Chidamabaram in 1997

B) It was headed by Narasimham.

C) It submitted its report to the then finance minister Yashwant Sinha in April 1998.

Which of the above statement/s is/are correct?

1. A and B
2. B and C
3. A and C
4. A,B and C

Answer 1

Correct Answer - Option 4 : A,B and C

The correct answer is A, B, and C.

• The Committee on Banking Sector Reforms or second Narasimhan Committee-
  • ​It was appointed by P. Chidambaram when he was the Finance Minister in, December 1997.
  • It came to be known as  Narasimham-II Committee(1998), as it was chaired by M. Narasimhan.
  • It was tasked with the progress review of the implementation of the banking reforms since 1992 with the aim of further strengthening the financial institutions of India.
  • It focussed on issues like the size of banks and capital adequacy ratio among other things.
  • M. Narasimham, the Chairman, submitted the report of the Committee on Banking Sector Reforms to the then Finance Minister Yashwant Sinha in April 1998.

• The first Narasimhan Committee or Committee on the Financial System-
  • It was appointed by Manmohan Singh as India's Finance Minister on 14 August 1991.
  • The first one widely came to be known as the Narasimham Committee-I (1991).