Question

First of all Commercial Banks were nationalized in the year:

• A. 1949
• B. 1969
• C. 1971
• D. 1980

Hint:

Bank Nationalization: 1st phase – 1969 (14 banks); 2nd phase – 1980 (6 banks).

Answer 1

The Correct Option is B

Step 1: Background.
Nationalization of banks in India was done in two phases to bring major banks under government control.
Step 2: First phase.
In 1969, 14 major commercial banks were nationalized. This marked the beginning of government-controlled banking.
Step 3: Second phase.
In 1980, another 6 banks were nationalized.
Step 4: Analyzing the options.
(A) 1949 – Incorrect, this was RBI’s nationalization.
(B) 1969 – Correct, first bank nationalization of 14 banks.
(C) 1971 – Incorrect.
(D) 1980 – Incorrect, this was the second phase.
Step 5: Conclusion.
Thus, the first nationalization of commercial banks occurred in 1969.