Explanation:

Let’s break it down option by option:

- Option 1: 1978

The first Narsimham Committee wasn’t even around then. In 1978, nothing major happened with Narsimham Committees. Skip this one.

- Option 2: 1991

This is when the first Narsimham Committee was set up, famously recommending key reforms to shake up India’s banking sector after the 1991 economic crisis.

- Option 3: 1997

Here’s the thing: The second Narsimham Committee was actually constituted in 1997. Its main job was to carry forward and deepen the banking reforms started by the first committee.

- Option 4: 1998

Close, but no. By 1998, the second committee had already come out with its report and recommendations.

The correct answer is:

Option 3: 1997