Banking and Financial Awareness Quiz

1. The definition of the priority sector was first formalised in 1972 by?

 Planning Commission

 National Development Council

 Reserve Bank of India

 Ministry of Finance, Government of India

2. Liquidity ratio is fixed by the Reserve Bank of India under the powers conferred on it by?

 Reserve Bank of India Act, 1934

 Companies Act, 1956

 Banking Regulation Act, 1949

 Special Powers given by the Union Ministry of Finance

4. The largest number of commercial banks’offices are located in?

 Karnataka

 Maharashtra

 Tamil Nadu

 Uttar Pradesh

4. Which of the following is not a member of the World Bank Group?

 International Bank of Reconstruction and Development

 International Development Association

 Bank of International Settlement

 International Finance Corporation

5. Every bank wishing to commence banking business in India is required to obtain a licence from?

 Government of India, Ministry of Finance

 Government of India, Company Law Board

 Reserve Bank of India

 Registrar of Companies

6. Which of the following state shows the fastest growth in expanding Micro Finance business in the country?

 Gujarat

 Andhra Pradesh

 Maharashtra

 Karnataka

7. The process of credit Derivative involves?

 The Protection Seller guarantees payment of principal and interest or both of the Asset owned by        the Protection Buyer in case of credit default

 The Protection Buyer pays a premium to the Protection Seller

 Both A and B

 None of the above

8. Which of the following rates decided by the RBI is called “Policy Rate”?

 Lending Rate

 Cash Reserve Ratio

 Deposit Rate

 None of the above

9. Loan given by the banks to farmers/small shop owners etc is known as........?

 Corporate loan

 Business loan

 Priority sector loan

 Commercial loan

10. The Head Office of which of the following banks is in Mumbai?

 Punjab National Bank

 Bank of Maharashtra

 UCO Bank

 Union Bank of India