When was the National Bank for Agriculture and Rural Development established?

The correct answer is 1982.

Key Points

• The National Bank for Agriculture and Rural Development (NABARD) was established on 12 July 1982 by an Act of Parliament.
• It was created to implement the recommendations of the B. Sivaraman Committee, which focused on rural credit reforms.
• NABARD took over the functions of the Agricultural Refinance and Development Corporation (ARDC), Rural Planning and Credit Cell (RPCC) of RBI, and part of the Agricultural Credit Department of RBI.
• The institution works to promote sustainable and equitable agriculture and rural development through financial and non-financial interventions.
• It is headquartered in Mumbai, Maharashtra, and plays a key role in implementing rural development initiatives across India.

Additional Information

• Mandate of NABARD:
  • It provides refinance support to rural financial institutions like cooperative banks, regional rural banks, and commercial banks.
  • It plays a critical role in developing rural infrastructure through the Rural Infrastructure Development Fund (RIDF).
  • NABARD also promotes research and innovation in agriculture through grants and financial support.
• Key Initiatives:
  • It supports Self-Help Groups (SHGs) and Farmer Producer Organizations (FPOs) to enhance rural livelihoods.
  • NABARD has launched programs like Watershed Development Projects to promote sustainable water resource management.
• Funding:
  • NABARD raises funds through bonds, financial institutions, and the Indian government to meet its objectives.
  • Its efforts are aimed at alleviating rural poverty and reducing regional inequalities through targeted interventions.
• Global Recognition:
  • NABARD has been recognized globally for its efforts in promoting rural development and improving the agricultural sector.
  • It collaborates with international organizations like the World Bank and FAO for rural development projects.