In May 2018, which one of the following banks was restricted from giving fresh credit and new recruitment of staff by the Reserve Bank of India?

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Q: 75 (CAPF/2018)
In May 2018, which one of the following banks was restricted from giving fresh credit and new recruitment of staff by the Reserve Bank of India?

question_subject: 

Economics

question_exam: 

CAPF

stats: 

0,16,45,32,16,9,4

keywords: 

{'punjab national bank': [0, 0, 1, 3], 'reserve bank': [1, 0, 3, 4], 'banks': [5, 6, 5, 25], 'dena bank': [0, 0, 1, 1], 'central bank': [0, 0, 1, 2], 'bandhan bank': [0, 0, 0, 1], 'fresh credit': [0, 0, 0, 1], 'new recruitment': [0, 0, 0, 1], 'india': [8, 1, 7, 13]}

In May 2018, the Reserve Bank of India imposed restrictions on one of the listed banks in terms of giving fresh credit and new recruitment of staff. The correct answer to this question is option 2, Dena Bank.

Dena Bank, which was a public sector bank, faced these restrictions in May 2018. The restrictions were imposed by the Reserve Bank of India as a corrective measure, due to Dena Bank`s poor financial health and high levels of non-performing assets (NPAs).

It`s important to note that the other options listed - Punjab National Bank, Central Bank of India, and Bandhan Bank - were not the banks that faced these specific restrictions in May 2018.

Overall, the restrictions imposed by the Reserve Bank of India on Dena Bank were aimed at ensuring the bank`s stability and improvement in its financial health. This step was taken to prevent any further deterioration in the bank`s performance and to safeguard the interests of the bank`s stakeholders.

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