Nationalisation of Banks and its Objectives

The nationalisation of banks is a process by which the government takes control and ownership of banks within a country. This move is usually aimed at achieving certain objectives and addressing specific issues within the banking sector. In the context of the given options, nationalisation of banks is aimed at all of the following objectives except for the provision of credit to big industries only.

1. Removal of control by a few:
One of the main objectives of nationalisation of banks is to eliminate the control exerted by a few private individuals or entities over the banking sector. By nationalising banks, the government ensures that the decision-making power and control are in the hands of the state. This helps in preventing the concentration of economic power and promotes a more equitable distribution of resources.

2. Provision of adequate credit for agriculture, small industry, and export units:
Nationalisation of banks aims to ensure that credit is made available to sectors that are often neglected by private banks. This includes agriculture, small industry, and export units. By having state-controlled banks, the government can direct credit towards these sectors, which are vital for the overall development and growth of the economy. This objective helps in promoting inclusive and sustainable economic development.

3. Encouragement of a new class of entrepreneur:
Another objective of nationalisation of banks is to encourage the emergence of a new class of entrepreneurs. By providing access to credit and financial services, state-controlled banks can support individuals who have innovative business ideas and entrepreneurial aspirations. This objective helps in fostering entrepreneurship and promoting economic dynamism within the country.

4. Provision of credit to big industries only:
The provision of credit to big industries only is not an objective of nationalisation of banks. In fact, one of the primary reasons for nationalising banks is to ensure that credit is not limited to big industries alone. By having state-controlled banks, the government can direct credit towards a wide range of sectors, including agriculture, small industry, and export units. This helps in promoting balanced economic development and reducing the dependence on a few dominant industries.

In conclusion, while nationalisation of banks aims to achieve several objectives including the removal of control by a few, provision of credit to agriculture, small industry, and export units, and the encouragement of a new class of entrepreneur, it does not aim to provide credit exclusively to big industries.