Regional rural banks are
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cooperative societies
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companies created under Companies Act
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body corporates created under a special statute
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public sector undertakings of the Central Government
Reveal answer
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C
Correct answer
Explanation
Regional rural banks are body corporates that are created under a special statute. They were established under the provisions of an ordinance passed on September, 1975 and the RRB Act, 1976 to provide sufficient banking and credit facility for agriculture and other rural sectors. These were set up on the recommendations of The M. Narasimham Working Group during the tenure of Indira Gandhi's government with a view to include rural areas into economic mainstream. At that time, about 70% of the Indian population was of rural orientation.