Need of banks nationalization:
developmental goals of financial intermediation were not being achieved other
than for some favoured large industries and established business houses.
Whereas industry’s share in credit disbursed by commercial banks almost doubled
between 1951 and 1968, from 34 per cent to 68 per cent, agriculture received
less than 2 per cent of total credit. Other key areas such credit to exports
and small-scale industries were also neglected. The stated...