Tag: micro, medium and small enterprises (msmes)

Questions Related to micro, medium and small enterprises (msmes)

What is/are the fund(s) for start-ups that SIDBI have been managing?

organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

  1. Fund of Funds for Start-ups

  2. ASPIRE Fund

  3. India Aspiration Fund

  4. All of the above

Show answer
Correct Option: D

Which of the following committees recommended the establishment of NABARD?

organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

  1. CRAFICARD

  2. Royal Commission

  3. Jha Committee

  4. Tandon Committee

Show answer
Correct Option: A
Explanation:

The Committee to Review Arrangements for Institutional Credit for Agriculture and Rural  Development (CRAFICARD) under the chairmanship of  B. Sivaraman, also known as Sivaraman committee recommended the establishment of NABARD.

NABARD provides refinance assistance to ___________.

organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

  1. state land development banks

  2. scheduled commercial banks

  3. regional rural banks and state co-operative banks

  4. all of the above

Show answer
Correct Option: D
Explanation:

National Bank for Agriculture and Development  is the apex bank which is concerned with the planning, policy and operations for development of rural areas of India.  Above mentioned banks help the rural communities to undertake agricultural and farming activities by providing loans, hence NABARD provides refinance assistance to such banks  for better economical development.

The SIDBI is a wholly owned subsidiary of the _________.

organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

  1. RBI

  2. IBRD

  3. IDBI

  4. IRBI

Show answer
Correct Option: C
Explanation:

The SIDBI (Small Industries Development Bank of India) is a wholly owned subsidiary of IDBI (Industrial Development Bank of India), established under the special Act of the Parliament 1988 which became operative from April 2, 1990. SIDBI was made responsible for administering Small Industries Development Fund and National Equity Fund that were administered by IDBI before.  SIDBI is the Primary Financial Institution for promoting, developing and financing MSME (Micro, Small and Medium Enterprise) sector

Which of the following statements is true or false?
a) NABARD takes up all the functions performed by RBI with regard to rural credit
b) NABARD provides credit directly to rural people

organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

  1. both (a) and (b) are correct

  2. both (a) and (b) are false

  3. (a) is true, (b) is false

  4. (a) is false, (b) is true

Show answer
Correct Option: C
Explanation:

NABARD stands for National Bank for Agriculture And Rural Development. The bank has been entrusted with matters concerning policy and planning related to agriculture and rural development. It replaced the Rural Planning and Credit Cell (RPCC) of RBI.

NBARD is an apex institution and hence doesn't directly directly finance farmers and other rural people.

NABARD came into existence in ____.

organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

  1. 1975

  2. 1980

  3. 1982

  4. 1985

Show answer
Correct Option: C
Explanation:

NABARD was established to implement the National Bank for Agriculture and Rural Development Act, 1981. It is an apex development financial institution of India. Its headquarter is located in Mumbai, with branches all over the country.

NABARD was established by the Government of ________.

organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

  1. U.S.A.

  2. Sri Lanka

  3. Pakistan

  4. India

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Correct Option: D
Explanation:

NABARD is the apex development and financial institution of India. It was established by government of India for development of agriculture and rural development in rural parts of India.

The functions of NABARD have been divided into _______.

organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

  1. 2 categories

  2. 3 categories

  3. 4 categories

  4. 5 categories

Show answer
Correct Option: B
Explanation:

The functions of NABARD has been divides into 3 categories namely- Distribution, development and regulatory. It is entrusted with matters of concerning policy, planning and operations in the field of credit for agriculture and other economic activities for rural development. 

Which of the following is a developmental functions of NABARD?

organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

  1. It inspects the working of RRBs and Cooperative banks of all types

  2. It provides long-term credit to State Land Development Banks

  3. It provides short term credit to state cooperative banks, RRB's and other financial institutions

  4. It acts as an agent of Government and RBI for monitoring work in agricultural related areas

Show answer
Correct Option: D
Explanation:

NABARD has taken over the refinancing from the RBI with respect of state cooperative banks and regional rural banks. It is an apex organisation with respect to all the rural developmental activities. Hence, it plays as an agent of government and RBI by refinancing and giving agricultural credit. 

Small Industries Development Bank of India is created by _______.

organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

  1. RBI

  2. IDBI

  3. IFCI

  4. IBRD

Show answer
Correct Option: B
Explanation:

SIDBI was established in 1990 to cater to the financial needs and growth and development of micro, small and medium scale enterprises. It is an important pillar of Indian economy as it contributes greatly to the growth of the same.