UPSC Prelims 2014 · GS Paper I
Question 32: Economy and Social Development
What is/are the facility/facilities the beneficiaries can get from the services of Business Correspondent (Bank Saathi) in branchless areas?
- 1.It enables the beneficiaries to draw their subsidies and social security benefits in their villages.
- 2.It enables the beneficiaries in the rural areas to make deposits and withdrawals.
Select the correct answer using the code given below.
AnswerUPSC’s answer is (c).
Business Correspondents, also called Bank Saathis, are agents appointed by banks under the Reserve Bank's financial inclusion drive to deliver banking in places without a branch. They let rural beneficiaries receive subsidies, pensions and other social security payments in their own village, and also deposit and withdraw small amounts of cash. So both statements are correct.
- 1. Subsidies and social security benefits can be drawn in the village.
- 2. Rural beneficiaries can deposit and withdraw cash through the correspondent.
How you could have got this
- If you were sure statement 1 is correct, (b) and (d) go: each of them leaves 1 out.
What you needed to know: Subsidies and social security benefits can be drawn in the village.
- Then, if you were sure statement 2 is correct, (a) goes: it leaves 2 out.
What you needed to know: Rural beneficiaries can deposit and withdraw cash through the correspondent.
Only (c) is left. This one needs every statement.
Which options go is worked out from UPSC’s key and the options, not by a model.
Why each option is right or wrong
- (a) Wrong. Deposits and withdrawals are also available through Business Correspondents.
- (b) Wrong. Drawing subsidies and social security benefits is also possible.
- (c) Right. Both benefit transfers and deposits or withdrawals are possible.
- (d) Wrong. Both facilities are provided.
Answer: UPSC’s key. Explanation: written by UPSC Grade, not by UPSC.
Source: UPSC, Civil Services (Preliminary) Examination 2014, General Studies Paper I, Series A. The paper on upsc.gov.in.