MPPSC 2014 General Studies Solved Paper-1

(C) Fourteen banks werenationalised by the governmenton 19th July, 1969. After Indiagot independence, theGovernment of India (GOI)planned on a systematiceconomic development of thecountry. Commercial banksbelonged to the private sectorthose times. Since thesecommercial banks were run bybusiness houses, they failed in helping the government inmany ways. Hence, thegovernment decided tonationalise 14 majorcommercial banks. A secondwave of nationalisation inbanking came into effect inApril 1980.