Concept:Bank consolidation is the merging of banks to strengthen their financial base.
Explanation:During consolidation, smaller banks merge or are taken over by larger banks.
This process helps the combined bank meet the minimum capital requirement set by the central bank.
A bank's capital base is the fund set aside to absorb losses and protect depositors.
The policy is thus aimed at raising the capital base of banks.
It is not primarily intended to increase branches, employment, or the number of shareholders.
Answer:A. the capital base of banks