Economics • Banking & FinanceMedium
Which institution in India acts as the principal regulator for cooperative banks in urban and rural areas alongside the RBI?
A. SEBI
B. NABARD for rural cooperatives, and RBI directly for urban cooperative banks✓ Correct Answer
C. IRDAI
D. SIDBI
💡 Solution & Explanation
Rural cooperative banks operate under the institutional supervision of NABARD alongside overall regulatory control by the Reserve Bank of India, while urban cooperative banks are regulated directly by the central bank. Single regulators do not manage every tier of the cooperative credit structure.
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