Which of these was a financial sector reform after 1991?

All banks were nationalisedCorrect answerYour answerForeign investors were barred from Indian marketsCorrect answerYour answerThe RBI took over every bank's lendingCorrect answerYour answerPrivate and foreign banks were allowed inCorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer D

Correct answer: D

Private Indian and foreign banks were permitted, and the limit on foreign investment in banks was raised to about 74%.
Foreign institutional investors such as mutual funds and pension funds may now invest in Indian financial markets.

Concept: Financial sector reforms
Typical timeTypical: 70 s
Your timeYours: —

The rule this testsLiberalisation

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Ten questions from Economic Reforms since 1991 (LPG), at your own pace.

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Ten questions from Economic Reforms since 1991 (LPG), at your own pace.

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Which of these was a financial sector reform after 1991?

Explanation