Govt. Exams
Entrance Exams
Bajaj Finance Limited is an NBFC that provides financial services like loans and deposits but doesn't have a banking license like commercial banks.
SEBI (Securities and Exchange Board of India) regulates and develops the securities market, protecting investor interests and ensuring fair market practices.
A higher NPA ratio indicates that a larger portion of the bank's loans are in default or arrears, reflecting deteriorating asset quality and credit risk.
Capital Adequacy Ratio (CAR) is a regulatory requirement ensuring banks maintain sufficient capital to absorb potential losses from their risk-weighted assets.
PSL mandates banks to lend a certain percentage of advances to priority sectors like agriculture, SMEs, and education for inclusive growth.
Cash Credit is a short-term credit facility provided to businesses for meeting their working capital requirements on a revolving basis.
The Statutory Liquidity Ratio is currently maintained at 19.5% of net demand and time liabilities, as per RBI guidelines.
Return on Assets (ROA) measures how efficiently a bank uses its assets to generate profit. It's calculated as Net Income / Total Assets.
LTD Ratio = (Total Loans / Total Deposits) × 100. Therefore, Total Loans = (78/100) × 5,00,000 = ₹3,90,000 crore
As per RBI's 2015 norms, any loan with outstanding principal or interest remaining unpaid for 90 days (3 months) is classified as NPA.
