What is the present number of Local Area Banks in India?

a. 3

b. 4

c. 5

d. 6

ANSWER: 4

Explanation:

Local Area Banks were set up as per a Government of India Scheme announced in August 1996.

There are only four Local Area Banks (LAB) in India, which exist in the form of Non-scheduled banks.

They are as follows:

Coastal Local Area Bank Ltd.

Founded : 27 December 1999

Headquarter : Vijayawada (Andhra Pradesh)

Area of Operation : Krishna, Guntur and West Godavari

Capital Local Area Bank Ltd.

Founded : 14 January 2000

Headquarter : Phagwara (Punjab)

Area of Operation : Jalandhar, Kapurthala and Hoshiarpur

Krishna Bhima Samruddhi Local Area Bank Ltd.

Founded : 28 February 2001

Headquarter : Mahbubnagar (Andhra Pradesh)

Area of Operation : Mahbubnagar in Andhra Pradesh, Raichur and Gulbarga in Karnataka

Subhadra Local Area Bank Ltd.

Founded : 1996

Headquarter : Kolhapur, Maharashtra

Area of Operation : Kolhapur