Regional Rural Banks are sponsored by

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Regional Rural Banks are sponsored by

1. Nationalised Commercial Bank
2. Reserve Bank of India
3. State Bank of India
4. Government of India

Correct Option: A

Regional Rural Banks (RRBs) were set up as government-sponsored, regional based rural lending institutions under the Regional Rural Banks Act, 1976. Every RRB is owned by three entities with their respective shares as follows: Central Government (50%); State government (15%); Sponsor bank (35%). Each Regional Rural Bank is sponsored by a Public-Sector Bank.