Question

The Central Cooperative banks normally operate at:

• A. State level
• B. District level
• C. Mandal level
• D. Village level

Hint:

Exam Tip: Remember the three-tier cooperative credit structure:
Village: PACS
District: CCB
State: SCB

Answer 1

The Correct Option is B

Step 1: Understanding the Concept:
This question tests knowledge of the structure of cooperative banking in India. The cooperative credit structure is a three-tier system in most states.

Step 2: The Three-Tier Cooperative Credit Structure:
The cooperative credit structure in India is organized as follows:
• State Level: State Cooperative Banks (SCBs) operate at the state level. They act as the apex institutions for cooperative banking in the state.
• District Level: Central Cooperative Banks (CCBs) operate at the district level. They serve as the link between the state cooperative banks and the primary cooperative societies.
• Village Level: Primary Agricultural Credit Societies (PACS) operate at the village or grassroot level. They provide credit directly to farmers.

Step 3: Analyzing the Options:

• (A) State level: This is the level of the State Cooperative Bank.
• (B) District level: This is the correct level for Central Cooperative Banks.
• (C) Mandal level: This is a sub-district level, not typically where Central Cooperative Banks operate.
• (D) Village level: This is the level of the Primary Agricultural Credit Society.

Step 4: Final Answer:
Central Cooperative Banks normally operate at the District level. Therefore, option (B) is correct.