GS PrelimsEconomyBanking2001

Which of the following committees examined and suggested Financial Sector Reforms?

A

Abid Hussain Committee

B

Bhagwati Committee

C

Chelliah Committee

D

Narasimham Committee

Correct Answer: Option D

Explanation

1. The question asks which committee suggested Financial Sector Reforms in India. 2. The Narasimham Committee, chaired by Maidavolu Narasimham, was set up in 1991 and again in 1998 to recommend reforms for the Indian financial system, particularly banking. 3. Its recommendations covered areas like reducing SLR and CRR, deregulation of interest rates, establishing Asset Reconstruction Funds, entry of private sector banks, and improving banking supervision. 4. Abid Hussain Committee focused on trade policy reforms and small-scale industries. 5. Bhagwati Committee dealt with unemployment. 6. Chelliah Committee focused on tax reforms. 7. Therefore, the Narasimham Committee is directly associated with Financial Sector Reforms.

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