Choose the correct chronological sequence in ascending order (earliest to latest):
(A) Establishment of NABARD
(B) FRBMA (Fiscal Responsibility and Budget Management Act)
(C) Third Five Year Plan
(D) Nationalization of RBI
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → (D), (C), (A), (B)
(D) Nationalization of RBI — 1949
(C) Third Five Year Plan — 1961-66
(A) Establishment of NABARD — 1982. The National Bank for Agriculture and Rural Development was set up to coordinate rural financing.
(B) FRBMA (Fiscal Responsibility and Budget Management Act) — 2003
Note: The NCERT book gives the years of NABARD and the FRBMA. The years of the Third Five Year Plan are given only in the pre-rationalised NCERT. None of the NCERT books (2026-27, 2025-26, 2023-24 or pre-rationalised) gives the year in which the Reserve Bank of India (RBI) was nationalised, which was 1949.
NCERT (2026-27): “5.3 Credit and Marketing in Rural Areas …A major change occurred after 1969 when India adopted social banking and multi-agency approach to adequately meet the needs of rural credit. Later, the National Bank for Agriculture and Rural Development (NABARD) was set up in 1982 as an apex body to coordinate the activities of all institutions involved in the rural financing system.…” NCERT (2026-27), chapter ‘Government Budget and the Economy’: “…The budget, it has been argued, reflects and shapes, and is, in turn, shaped by the country’s economic life. Along with the budget, three policy statements are mandated by the Fiscal Responsibility and Budget Management Act, 2003 (FRBMA).…” NCERT (Pre-rationalised), chapter ‘Poverty’: “…While looking for alternatives to specifically address the poor, policy makers started thinking that incomes and employment for the poor could be raised through the creation of additional assets and by means of work generation. This could be achieved through specific poverty alleviation programmes. This second approach has been initiated from the Third Five Year Plan (1961-66) and progressively enlarged since then. One of the noted programmes initiated in the 1970s was Food for Work.…” |