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Question No. 203Interactive Test Mode
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Q203. Consider the following statements: 1. The National Housing Bank the apex institution of housing finance in India, was set up as a wholly-owned subsidiary of the Reserve Bank of India 2. The Small Industries Development Bank of India was established as a whollyowned subsidiary of the Industrial Development Bank of India Which of the statements given above is/are correct?

Consider the following statements:

  1. The National Housing Bank the apex institution of housing finance in India, was set up as a wholly-owned subsidiary of the Reserve Bank of India
  2. The Small Industries Development Bank of India was established as a whollyowned subsidiary of the Industrial Development Bank of India Which of the statements given above is/are correct?
Select the correct option below (or cross out options to eliminate)

Official Answer Key & Detailed Solution

Ready to check the official UPSC Answer Key?

Click any option above to test yourself under exam conditions, or reveal the explanation directly.

Official UPSC Answer KeyUPSC Prelims 2004 • Indian Economy

Correct Answer: Option (C) — Both 1 and 2

Concept & Option Breakdown

Standard Reference Verified
  • Statement 1 is correct: The National Housing Bank (NHB) was established in 1988 under the NHB Act, 1987, originally as a wholly owned subsidiary of the Reserve Bank of India.
  • Statement 2 is correct: The Small Industries Development Bank of India (SIDBI) was established on April 2, 1990, under an Act of Parliament, originally incorporated as a wholly owned subsidiary of the Industrial Development Bank of India (IDBI).
Elimination Heuristic & Exam Approach

Both apex sector-specific institutions were established as subsidiaries of their respective parent apex bodies (NHB under RBI; SIDBI under IDBI) before evolving their modern equity holding structures.

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Question Specifications & Syllabus Mapping

Examination & YearUPSC Civil Services Preliminary Examination 2004 (Q203)
Paper & Marking SchemeGS Paper I • 2 Marks (-0.66 Negative for incorrect response)
Syllabus Subject & TopicIndian Economy → Indian Economic Planning & Growth
Official Answer KeyOption (C) — (c) Both 1 and 2

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Frequently Asked Questions — UPSC Prelims 2004 Q203

What is the official answer for UPSC Prelims 2004 GS Paper I Question 203 (Indian Economy)?

The official UPSC answer key for this 2004 Indian Economy (Indian Economic Planning & Growth) question is Option (C): "(c) Both 1 and 2". Correct attempts carry 2 Marks with -0.66 Negative penalty for wrong answers.

Which UPSC Prelims syllabus topic does this 2004 question belong to?

This question belongs to GS Paper I under the subject "Indian Economy" and micro-topic "Indian Economic Planning & Growth". You can explore all repeated questions from Indian Economic Planning & Growth in Acme AI's 3D Prelims PYQ Realm or practice 50 full-length and sectional tests in the APT Prelims Test Series.

How can I solve this Indian Economic Planning & Growth UPSC Prelims question using option elimination?

Both apex sectorspecific institutions were established as subsidiaries of their respective parent apex bodies (NHB under RBI; SIDBI under IDBI) before evolving their modern equity holding structures.

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