Question

IDBI was established in —

• A. 1944
• B. 1954
• C. 1964
• D. 1974

Hint:

IDBI was set up in 1964 as a development financial institution to promote industrial growth in India.

Answer 1

The Correct Option is C

Step 1: About IDBI.
The Industrial Development Bank of India (IDBI) was established in 1964 under the Industrial Development Bank of India Act, 1964.
Initially, it functioned as a subsidiary of the Reserve Bank of India (RBI) to provide financial assistance for industrial development in the country.
Step 2: Purpose of Establishment.
IDBI was created to coordinate the activities of other financial institutions, promote industrial growth, and provide long-term financing to industries.
Later, in 1976, it became an autonomous institution.
Step 3: Analysis of options.
- (1) 1944: Incorrect — no such development bank existed then.
- (2) 1954: Incorrect — IDBI was not yet founded.
- (3) 1964: Correct — the official establishment year.
- (4) 1974: Incorrect — though it became autonomous later.
Step 4: Conclusion.
Hence, IDBI was established in 1964.