Correct option is C
The Narasimhan Committee, established in 1991 and again in 1998, played a pivotal role in recommending banking sector reforms, including the consolidation and restructuring of public sector banks (PSBs). It was instrumental in suggesting the merger of banks to make them more efficient and competitive.
The Leeladhar Committee was focused on improving customer services and enhancing the effectiveness of public sector banks but did not specifically address consolidation issues.
The Nayak Committee (2014), also known as the P.J. Nayak Committee, reviewed the governance of bank boards and recommended diluting the government’s stake in PSBs and forming a bank holding company to manage them. It also indirectly supported the consolidation of banks to enhance their governance structure.
The Rangarajan Committee, however, is associated with economic reforms and broader financial sector recommendations but was not directly involved in the consolidation of public sector banks. Its focus was on improving the functioning of the financial system, including monetary policy reforms.
