Which of the following committees has pointed out the weakness in the working of RRBs?
Regional Rural Banks that were set up in the rural area of the country was facing many problems related to the branch expansion, slow progression, Procedural rigidities, and Difficulties in deposit mobilisation.
For this, the committees that were associated with the RRB’s pointed out the shortcomings of the RRB’s and gave many suggestions and recommendations that could improve the working of RRB’s in the country.
In June 1977, the Reserve Bank of India appointed a committee to monitor the working of RRB. Professor M.L. Dantwala headed it and the committee submitted a report to the Reserve Bank of India with some important suggestions like Providing rural credit in a more efficient manner, Sponsoring banks should provide training to the staff of the RRB, The RRB should adequately recruit technical staff, etc.
The Working Group on RRBs i.e. the Kelkar Committee in 1984 recommended that small and uneconomic RRBs should be merged in the interest of economic viability and with this suggestion the government of India stops its further establishments of Regional Rural Banks in India so that no further problem can be there associated with the RRB’s.
According to the Khusro Committee, which was led by Dr. A.M. Khusro there was no place for RRB in the country rural system in near future and they should be merged with sponsored banks.
Thus all of the above options are correct.