Module: General Practice
Q36: Under the Lead Bank Scheme, which official is mandated to chair the District Consultative Committee (DCC)?
✅ Correct Answer: B
The correct answer is the District Collector (DC) or District Magistrate (DM). The District Consultative Committee makes and checks the District Credit Plan.
The members include all commercial banks.
This means Small Finance Banks, Payments Banks, Regional Rural Banks, and Co-operative banks are all part of it.
The Reserve Bank of India sends its Lead District Officer to be a member.
The National Bank for Agriculture and Rural Development also sends its District Development Manager.
Also, the Director of the Micro, Small and Medium Enterprises Development and Facilitation Office is invited as an official guest in districts that have small business groups.
The members include all commercial banks.
This means Small Finance Banks, Payments Banks, Regional Rural Banks, and Co-operative banks are all part of it.
The Reserve Bank of India sends its Lead District Officer to be a member.
The National Bank for Agriculture and Rural Development also sends its District Development Manager.
Also, the Director of the Micro, Small and Medium Enterprises Development and Facilitation Office is invited as an official guest in districts that have small business groups.
🧠 Real-World Scenario:
Imagine the entire district's banking network meets to finalize how much money will flow into the local economy next year. Suddenly, they need a powerful, neutral leader to direct the meeting.
According to the rules, they can place the District Collector (DC) or District Magistrate (DM) at the head of the table. This means the highest civil servant in the district leads the charge, ensuring banks actually serve the public's needs.