Showing 301–310 of 494 questions
Q.301
Medium
General Awareness
What is the mandated percentage of credit disbursement for Micro and Small Enterprises (MSE) under priority sector lending?
Explanation:
RBI mandates that at least 12% of total priority sector lending should go to Micro and Small Enterprises.
Q.302
Easy
General Awareness
In banking terminology, what does 'Amortization' refer to?
A
The process of charging depreciation on assets
B
Paying off a debt gradually through scheduled payments
C
The rate of inflation in a fiscal year
D
The conversion of assets into cash
Correct Answer:
B. Paying off a debt gradually through scheduled payments
Explanation:
Amortization is the process of gradually paying off a loan through regular, scheduled installments over time.
Q.303
Hard
General Awareness
Which of the following banks is NOT part of the RBI's core supervisory framework as a Systemically Important Bank (SIB)?
A
ICICI Bank
B
HDFC Bank
C
Regional Rural Bank
D
Axis Bank
Correct Answer:
C. Regional Rural Bank
Explanation:
Regional Rural Banks are not classified as SIBs; only major private and public banks meeting size criteria are designated as SIBs.
Q.304
Easy
General Awareness
What is the coverage amount under the Deposit Insurance and Credit Guarantee Corporation (DICGC) scheme as of 2024?
A
₹1 lakh per depositor per bank
B
₹2 lakhs per depositor per bank
C
₹5 lakhs per depositor per bank
D
₹10 lakhs per depositor per bank
Correct Answer:
C. ₹5 lakhs per depositor per bank
Explanation:
DICGC provides deposit insurance coverage of ₹5 lakhs per depositor per bank to ensure depositor security.
Q.305
Medium
General Awareness
A bank's Loan-to-Deposit (LTD) ratio is 95%. What does this indicate?
A
Strong liquidity position with conservative lending
B
Aggressive lending with potential liquidity stress
C
Excellent profitability
D
Poor asset quality
Correct Answer:
B. Aggressive lending with potential liquidity stress
Explanation:
An LTD ratio of 95% indicates the bank is lending aggressively relative to deposits, which may strain liquidity.
Q.306
Hard
General Awareness
Which regulatory framework governs cross-border rupee transactions in India?
A
LIBOR Framework
B
Liberalized Remittance Scheme (LRS)
C
Foreign Exchange Management Act (FEMA) and RBI guidelines
D
International Monetary Fund (IMF) protocols
Correct Answer:
C. Foreign Exchange Management Act (FEMA) and RBI guidelines
Explanation:
Cross-border rupee transactions are regulated under FEMA and specific RBI guidelines for internationalization of rupee.
Q.307
Easy
General Awareness
Which of the following is the regulator of payment systems in India?
A
Reserve Bank of India
B
Securities and Exchange Board of India
C
Insurance Regulatory and Development Authority
D
Ministry of Finance
Correct Answer:
A. Reserve Bank of India
Explanation:
The RBI is the central bank and primary regulator of payment systems in India, including NEFT, RTGS, and UPI.
Q.308
Easy
General Awareness
What is the full form of KYC in banking?
A
Know Your Client
B
Know Your Credit
C
Key Yield Certificate
D
Know Your Capital
Correct Answer:
A. Know Your Client
Explanation:
KYC (Know Your Client) is a mandatory process for banks to verify customer identity and assess potential risks of illegal activities.
Q.309
Medium
General Awareness
Which bank is the oldest bank in continuous operation in India?
A
State Bank of India
B
Bank of India
C
Punjab National Bank
D
Allahabad Bank
Correct Answer:
D. Allahabad Bank
Explanation:
Allahabad Bank, established in 1865, is the oldest bank in continuous operation in India and was the first bank founded by Indians.
Q.310
Medium
General Awareness
As per RBI's latest norms (2024), what is the minimum capital adequacy ratio (CAR) for scheduled commercial banks?
Explanation:
RBI prescribes a minimum CAR of 10.5% for scheduled commercial banks, which includes minimum Tier I capital of 7.5%.
