Which among the following was previously known as Imperial Bank of India?

Appeared in: NIA - 29 January 2023

Explanation

The State Bank of India (SBI) was established on July 1, 1955, through the nationalization of the Imperial Bank of India.
This transformation was enacted by the State Bank of India Act, 1955.
The Imperial Bank of India itself was formed in 1921 by merging the three Presidency Banks: the Bank of Bengal, the Bank of Bombay, and the Bank of Madras.
Therefore, SBI is the modern successor to the Imperial Bank of India.

Option B: The Reserve Bank of India (RBI) is the country's central banking institution, responsible for monetary policy and regulation. It was established in 1935 and has always had a distinct role from commercial banks like the Imperial Bank.
Option C: Punjab National Bank (PNB) was founded in 1894 and has a separate, independent history. It was one of the first banks in India started with purely Indian capital and was never associated with the Imperial Bank.
Option D: ICICI Bank is a private sector bank established much later. It was founded as the Industrial Credit and Investment Corporation of India Bank in 1994 by its parent company, ICICI, which was formed in 1955. It has no historical link to the Imperial Bank of India.

Clinical Relevance

Nursing practice connection: This is primarily an exam-oriented knowledge point with limited direct bedside application, so retain History of Banking in India as background academic context rather than a clinical decision trigger.
While not a clinical question, understanding the history of major national institutions like SBI is part of the general knowledge required for well-rounded professional development.
Awareness of the evolution of public sector entities provides context for the country's economic and administrative framework, which indirectly influences public services, including healthcare funding and infrastructure.
What if the question asked which bank was formed by the merger of Presidency Banks? The answer would be the Imperial Bank of India, which is the precursor to the correct answer, SBI.

How to Approach the Question

Identify the key entity in the question: 'Imperial Bank of India'.
The question asks for its former name, which implies a name change or succession.
Recall or deduce the history of major Indian banks listed in the options.
Evaluate each option: RBI is the central bank, PNB has a separate origin, and ICICI is a modern private bank.
This leaves the State Bank of India. Recall the historical fact that the Imperial Bank was nationalized and renamed SBI in 1955.
Confirm the answer by eliminating the other incorrect options based on their known histories.

Concept Tested & Keywords

QxqjAADSAZ1UR_gyLsuPlM

Practise the full NIA - 29 January 2023

Attempt every question from this paper in a timed mock, then review the full solution for each one.