Q. Consider the following statements:
1.Banks are the government authorized financial intermediary that aims at providing banking services whereas Non-Banking Financial Companies (NBFCs) provides banking services to people without carrying a bank license.
2.100% Foreign Investments is allowed in NBFCs.
3.NBFCs are part of the Payment and Settlement system.
Which of the statements given above is/are correct?
Answer: C
Notes:
Explanation –
Statement 1 and 2 are correct. Banks are the government authorized financial intermediary that aims at providing banking services whereas NBFCs provides banking services to people without carrying a bank license. 100% Foreign Investments is allowed in NBFCs.
Statement 3 is incorrect. NBFCs are not part of the Payment and Settlement system.
Source: The Times of India