Consider the following statements regarding Small Finance Bank SFB 1 Committee headed by NachiketMor...........

Economic Affairs Types of Banks and Banking

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Consider the following statements regarding Small Finance Bank (SFB)

1. Committee headed by NachiketMor recommended their Constitution.

2. Individual carrying 10 years of experience in banking and finance can set up SFB.

3. SFBs have a minimum paid up capital of RS 100 crore.

4. They can only deal with Pension and insurance schemes.

How many of the statements given above are correct?

Only One

Only Two

Only Three

All Four

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Explanation:

Committee headed by Nachiket Mor recommended their Constitution: This statement is correct. The Committee on Comprehensive Financial Services for Small Businesses and Low-Income Households, headed by Nachiket Mor, recommended the constitution of Small Finance Banks (SFBs) in India.

Individual carrying 10 years of experience in banking and finance can set up SFB: This statement is correct. Individuals with 10 years of experience in banking and finance are eligible to set up Small Finance Banks.

SFBs have a minimum paid-up capital of Rs 100 crore: This statement is correct. Small Finance Banks are required to have a minimum paid-up capital of Rs 100 crore.

They can only deal with Pension and insurance schemes: This statement is incorrect. Small Finance Banks are allowed to carry out a wide range of banking activities, including accepting deposits, providing loans, and offering a variety of financial products and services. They are not restricted to dealing only with pension and insurance schemes.