Banking Awareness Q&A 2015 (July To Dec) by AffairsCloud PDF

Banking Awareness Q&A PDF
Banking Awareness Q&A 2015 PDF

Table of Contents
Banking Awareness July 2015 ........................................................................................................................... 1
Banking Awareness August 2015 ...................................................................................................................... 7
Banking Awareness September 2015 .............................................................................................................. 15
Banking Awareness October 2015................................................................................................................... 19
Banking Awareness November 2015............................................................................................................... 26
Banking Awareness December 2015 ............................................................................................................... 31
Current rates of key Indicators
Indicator
Bank rate
CRR
SLR
Repo rate
Reverse repo rate
Marginal Standing facility rate
Current Rate
7.75%
4.00%
21.50%
6.75%
5.75%
7.75%
Banking Awareness July 2015

1. Government has allocated how much fund for capital infusion in state-owned banks
and allowed banks to take some decisions which may imply that they would need to use
some of that capital for cleaning of the balance sheet?
A. Rs.8940 crore
B. Rs.7,940 crore
C. Rs.1940 crore
D. Rs.9840 crore
Answer: B. Rs.7,940 crore
Explanation: Recapitalisation of banks is done with the aim of making its capital structure more
stable. This could be done by issuing new shares or loan from a government. This improves the
banks bank balance and prevents them from ruining.
Why Recapitalisation? When the liabilities of banks are greater than their assets then they
technically owe more to other people than assets they own.
2. Which bank launched an initiative Project Tatkal to provide doorstep services and
speed up home loans application process?
A. HDFC Bank
B. ICICI Bank
C. SBI
D. PNB
Answer: C. SBI
Explanation:
Project Tatkal will help get the loan within 10 days after receipt of application form and relevant
supporting documents.
This project will be implemented at large centres with sizable home loan business.
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The bank has also introduced an online customer acquisition solution (OCAS) for instant eapproval of home loan applications.
3. Foreign Investment Promotion Board(FIPB) had given approval which bank to
increase foreign direct investment (FDI) in the bank to 55 per cent?
A. Dhanalakshmi Bank
B. Citi Bank
C. Kotak Mahindra Bank
D. None of these
Answer: C. Kotak Mahindra Bank
Explanation:
Indias FDI policy allows 100 per cent foreign investment in banks. But Kotak Mahindras
plan of launching a general insurance venture had made the matter complicated.
The Insurance Amendment Act passed in March 2015, which increased the FDI cap in the
sector to 49 per cent, stated that an Indian insurance company must be Indian owned and
controlled.
4. Which Bank has first launched the MUDRA card based on the RuPay platform?
A. Corporation Bank
B. OBC
C. IDFC Bank
D. Bandhan Bank
Answer: A. Corporation Bank
Explanation:
The card facilitates the withdrawal and use of the working capital finance by micro entrepreneurs.
The first MUDRA card was launched under the Pradhan Mantri MUDRA Yojana (PMMY). Under
PMMY there are three schemes for providing loans
Shishu loan up to Rs50,000.
Kishore loan up to Rs 5 lakh.
Tarun loan up to Rs 10 lakh.
5. The first bank in India that launched Watch Banking for Apple Watch was ______.
A. ICICI Bank
B. HDFC Bank
C. Axis Bank
D. SBI
Answer: B. HDFC Bank
Explanation: Watch banking aims to provide banking services through all wearable devices
across platforms like iOS and Android.
HDFC Bank provided a total of 10 banking transactions in the beginning like view account
information, bill payments, recharges, hot listing facilities, locate nearest branch/ATM/offer,
request statement and cheque book.
There is no need for customers to download a separate app, they can activate watch banking
from an upgraded version of HDFC Banks mobile banking app itself.
6. Who is the chairman of Bandhan Bank?
A. Chanda Kochar
B. Chandar Shekhar Ghosh
C. Ashok Lahiri
D. Naina Lal Kidwai
Answer: C. Ashok Lahiri
Explanation: Bandhan got the in-principle approval from RBI for starting universal banking
operations along with IDFC. 65% of branches would be in rural areas while 35%would be opened
in urban areas. West Bengal will have 247 branches while other states having good share of
branches are Odisha, Bihar and Assam.
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7. FDI in manufacturing of tobacco products was banned by _______.
A. Government of India
B. RBI
C. SEBI
D. NABARD
Answer: B. RBI
Explanation: RBI issued a notification which states prohibition applies on the manufacturing of
tobacco products activities such as wholesale cash and carry, retail trading as they fall under the
sectorial restrictions. Manufacturing of cigars, cheroots, cigarillos and cigarettes, of tobacco or of
tobacco substitutes have been prohibited.
8. Which financial company launched a phone app to verify online payments via selfies?
A. MasterCard
B. Visa
C. Maestro
D. RuPay
Answer: A. MasterCard
Explanation: MasterCard launched a smartphone app which allows people to confirm their
identity and authenticate online transactions via a facial scan.
The users will have to download the MasterCard phone app and at checkout they will be asked
to hold up their phone to stare and blink at it.
MasterCard is also experimenting with finger print and voice recognition.
9. India contributed __________ to the forex reserves pool set up by BRICS nations.
A. USD 16 billion
B. USD 81 billion
C. USD 18 billion
D. USD 20 billion
Answer: C. USD 18 billion
Explanation: The USD 100 billion foreign-exchange reserves pool is set up by five nations of the
BRICS grouping to help each other in case of any problems with dollar liquidity. The
contributions from all five nations are: Brazil $18 billion,Russia $18 billion,India $18
billion,China $41 billion,South Africa $5 billion.
10. As per final guidelines on Prepaid Payment Instruments for Mass Transit System
(PPI-MTS), PPIs will be reloadable instruments subject to an outstanding limit of _____
at any point of time.
A. Rs.3000
B. Rs.2000
C. Rs.5000
D. Rs.1000
Answer: B. Rs.2000
Explanation:
The Reserve Bank of India (RBI) placed the final guidelines on Prepaid Payment Instruments for
Mass Transit System (PPI-MTS) enabling the issuance of a separate category of semi-closed
prepaid payment instruments for mass transit systems.
PPI-MTS will enhance commuter convenience and will also facilitate the migration to
electronic payments in line with the countrys vision of moving to a less-cash society.
11. Which bank has signed a multilateral agreement to cooperate with New
Development Bank (NDB) along with other member development banks of BRICS
nations?
A. ICICI Bank
B. SBI
C. EXIM Bank
D. IDBI Bank
Answer: C. EXIM Bank
Explanation: Aims of the MoU:
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Sharing of knowledge, information and best practices.
Capacity building of personnel, including project development skills.
Promotion of joint events, research and programmes.
Development of effective and sustainable financing solutions for projects of mutual interest.
Exim Bank also signed a cooperation agreement with Brazilian Development Bank (BNDES).
12. State Bank of India (SBI) has partnered with which online financial product
aggregator along with the banks subsidiary SBI CAP Securities?
A. Bankbazaar.com
B. Mint
C. Wave
D. Quicken
Answer: A. Bankbazaar.com
Explanation: Bank will be able to display its home loan products on bankbazaar.com, generate
leads and provide door-step delivery, thus improving the response time.
Bankbazaar.com offers end to end solutions to the home loan seekers from getting the
customised quotes, comparison of the offers and submission of online application to SBI.
This partnership will help the bank to provide yet another online platform to the
prospective tech savvy home loan borrowers to apply for SBI Home Loans online.
13. Which bank has received approval from the Reserve Bank of India to set up IFSC
Banking Units (IBUs) in Gujarat International Finance Tec-City (GIFT)?
A. Axis Bank
B. ICICI Bank
C. HDFC Bank
D. YES Bank
Answer: D. YES Bank
Explanation: Setting up the IBU will propel YES Banks growth plans further by providing it
access to International financial markets.
It will provide a comprehensive product suite to its corporate clients requiring Foreign Currency
(FCY) funding.
14. Which state got its first skin bank works like an eye bank and the skin bank team
goes to a donors house?
A. Rajasthan
B. Kerala
C. Karnataka
D. Madhya Pradesh
Answer: C. Karnataka
Explanation: The skin bank team goes to a donors house when it receives word that he has
passed away, and harvests the skin within six hours of death.
This skin taken out from thighs can enhance quality of life for those suffering with 50%-60%
burns.
This will enable faster healing and help the burns patients.
Currently, there are skin banks in Chennai, Delhi and Mumbai.
15. Recently, Reserve Bank of India has constituted a committee with the objective of
working out a 5 year measurable action plan for financial inclusion. Who is the head of
this committee?
A. Abid Hussain
B. Urjit Patel
C. Deepak Mohanty
D. A. P. Shah
Answer: C. Deepak Mohanty
Explanation: It will review the existing policy of financial inclusion, including supportive payment
system and customer protection framework.
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It will study the cross-country experience in financial inclusion to identify key learnings,
particularly in the area of technology-based delivery models that could inform policies and
practices.
16. Reserve Bank of India (RBI) signed a currency swap agreement with which country
which will assist countries during periods of tight liquidity or balance of payments &
liquidity crises?
A. Japan
B. Sweden
C. Sri Lanka
D. UK
Answer: C. Sri Lanka
Explanation: Sri Lanka can draw a maximum of $1.1 billion for a period of up to six months.
There is an existing framework on currency swap arrangement for the SAARC member countries
by which SAARC members can draw currency$100 million In in March 2015, India and Sri Lankas central banks signed a currency swap agreement under
the SAARC Framework.
17. In which state Department of Industrial Policy and Promotion (DIPP) has approved
a proposal to set up the countrys first defense industrial park?
A. Madhya Pradesh
B. Rajasthan
C. Uttar Pradesh
D. Kerala
Answer: D. Kerala
Explanation: In Ottappalam, Kerala
The park will be developed as a part of Make in India and will have modern common
infrastructure facilities aimed at attracting component manufacturers in the defence industry.
The Union government has agreed to bring it under the Modified Industrial Infrastructure
Upgradation Scheme (MIIUS).
18. Recently, pension regulator PFRDAS Chairman Hemant Contractor clarified whom to
invest in National Pension System (NPS)?
A. NRIs
B. British Citizens
C. Middle-West NRIs
D. None of these
Answer: A. NRIs
Explanation: Through this investment NRIs can get a social security cover.
Through this NPS, it provides a long term solution to their old age income security and saves for
their retirement income.
NPS scheme will be benefited especially for those NRIs who living in the Middle-East because
they do not have any mandatory social security benefit.
NPS like mutual fund and insurance could also be eligible investment for NRIS.
NPS at present has more than 92 lakhs subscribers with current corpus is Rs 91,000 crore.
19. CA Atul Kumar Gupta along with his team has made an endeavor to acquaint the
common man apart from the professionals, regarding the dynamic indirect taxation
system, through which mobile app?
A. MAXO
B. RAXO
C. TAXO
D. JAXO
Answer: C. TAXO
Explanation: The idea behind TAXO is to update and educate not just the taxation professionals
but everyone on ongoing basis by providing prompt and live access to the changing business
environment in India.
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TAXO is a platform where the general public can get an insight into the basic fundamentals of
Indirect Taxation.
20. Insurance Regulatory and Development Authority of India (Irdai) has constituted
three committees for review of regulations in insurance. Which one is not included in
these committees?
A. Health Insurance committee
B. General insurance committee
C. Reinsurance committee
D. Life insurance committee
Answer: A. Health Insurance committee
Explanation: Three committees for review of regulations in life insurance, general insurance and
reinsurance including registration of foreign offices of reinsurers.
The Life insurance committee will look into regulations in areas like assets, liabilities and
solvency margin and appointed actuary.
The General insurance committee will look at regulations in areas including claim reserving,
reinsurance and appointed actuary.
Reinsurance committee will look into issues relating to registration of branches of foreign
reinsurers among others.
21. Global IT leaders CSC and __________ announced the signing of a definitive joint
venture agreement to form a banking software and services company.
A. WIPRO
B. TCS
C. HCL
D. HP
Answer: C. HCL
Explanation: The joint venture will invest in platform modernization and product functionality
enhancement and will capitalize on the proven capabilities of both companies in addressing.
HCL will provide capital investment, extensive experience in product engineering and application
implementation services, as well as banking sales and client engagement expertise.
22. To commemorate International Yoga Day which is observed on JUNE 21 every year
Reserve Bank of India launched which denominations coin?
A. Rs.5
B. Rs.125
C. Rs.150
D. Rs.10
Answer: D. Rs.10
Explanation: These coins are legitimate delicate as given in the Coinage Act,2011 and the
current coins in this division will likewise keep on legitimate delicate.
23. India inked loan agreement of $300 million with which bank to support National
Urban Health Mission(NUHM)?
A. World Bank
B. ADB
C. NDB
D. HSBC
Answer: B. ADB
Explanation: This is the ADBs first loan project in India under NUHM to develop health systems
in urban areas that can deliver quality health services that reach the urban poor and vulnerable.
Aim: To achieve good result in key sectors like urban health, urban local bodies in planning and
delivery of urban health services.
24. Recently, SEBI cancelled Certificate of Registration of which firm?
A. Bajaj Finance
B. Sahara Mutual Fund
C. Nidhi Funds
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D. None of these
Answer: B. Sahara Mutual Fund
Explanation: The main reason for cancellation of the certificate of registration is that the fund
house Sahara Mutual Fund along with Sahara AMC and Sahara Sponsor were found to be no
longer fit and proper persons to carry out the business of Mutual Fund.
25. Axis Bank signs $200-mn loan agreement with which bank to help leverage its semiurban and rural branch network to deliver agriculture credit?
A. RBS
B. HSBC
C. ADB
D. NDB
Answer: C. ADB
Explanation: The loan will help bolster banks efforts to improve farm efficiency by extending
customized and affordable agriculture credit.
Banking Awareness August 2015

1. HDFC Bank tied up with e-commerce company for co branded e-commerce credit
card?
A. amazon
B. FlipKart
C. Snapdeal
D. Paytm
Answer: C. Snapdeal
Explanation: Customer can apply for the card from Snapdeals website, mobile site or even from
the mobile app. The applicants credit eligibility will be checked instantly.
Co-Branded credit cards Pay no transaction fee when you buy petrol, earn frequent flyer
miles for every hundred rupees you spend through the card, pay your telephone bills on
credit and get free caller line identification.
*RECENT CO-branded cards in news
SBI --Co branded credit card with -- dena bank & federal bank & yatra
ICICI -- Co branded credit card with HPCL & JETAIRWAYS
HDFC -- Co branded credit card with snapdeal & jet airways
AXIS BANK -- Co branded Shriram Transport Finance Company Ltd (STFCL)
Citibank and Bank of Baroda have co-branded petro cards that work in partnership with
Indian Oil.
*NOTE--Citibank has the largest number of co-branded cards, followed by American Express,
Standard Chartered Bank and Hong kong Bank.
2. BRICS business forum for the first time held in ______.
A. Delhi
B. Dubai
C. China
D. Autralia
Answer: B. Dubai
Explanation: Objective: To provide opportunities for greater economic collaboration between the
five member countries.
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The forum provides an opportunity for BRICS companies located in the UAE to exchange technical
knowledge and establish collective action plans in order to improve their capacity for innovation
and competition in the market.
BRICS: BRICS is an association of five major emerging national economies: Brazil, Russia, India,
China and South Africa. Russia currently holds the chair of the BRICS group, and hosted the
groups seventh summit in July 2015.
3. RBI has now allowed banks to shift, merge or close branches in which areas without
seeking its prior permission?
A. Urban
B. Rural
C. Suburban
D. None of these
Answer: A. Urban
Explanation: Rural branches outside the block can also be shifted without prior approval of RBI.
However shifting, merging or closing a branch in a rural area or a sole branch in a semi-urban
area would continue to require prior permission from RBI.
As per the new guidelines, banks are also no longer required to report details of opening new
mobile branches, automated teller machines (ATMs) or call centres.
All the changes will be done as per Section 23 of the Banking Regulation Act, 1949 Relaxations in Branch Authorization Policy.
4. Government of India has imposed what percent of import duty on wheat till March 31
2016?
A. 20%
B. 10%
C. 15%
D. 5%
Answer: B. 10%
Explanation: This is suggested by the Food Ministry to get the premium quality Australian wheat
shipments in order to liquidate the stocks having with the Food Corporation of India(FCI).
The government is estimated to gain revenue of about Rs 90 crore in the remaining part of
the year.
India is the worlds second largest wheat producer and consumer after China, and its
warehouses often hold double the target amount as farmers get more incentives to produce
grains than oilseeds and pulses.
5. Which bank hiked exposure to Indian companies namely IT-giant Infosys and
automobile major Tata Motors beside the elite league of global enormous large and
powerful organization like Apple, Microsoft and ExxonMobil?
A. HSBC
B. Citibank
C. Swiss National Bank
D. RBL
Answer: C. Swiss Bank
Explanation: Apart from these, the bank retained its investments in four other Indian companies
ICICI Bank, Dr Reddys Labs, Vedanta Limited and Wipro.
SNB acquired more equity in case of Infosys and Tata Motors in second quarter.
In comparison, as per the latest regulatory filing of SNB with the Securities and Exchange
Commission (SEC), in case of US it held shares in more than 2,500 securities.
6. India received how much FDI from EU in last 3 yrs?
A. USD 20 bn
B. USD 24 bn
C. USD 50 bn
D. USD 10 bn
Answer: B. USD 24 bn
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Explanation: Despite the Free Trade Agreement talks with the European Union being in limbo,
India has received an impressive USD 24 billion in Foreign Direct Investment from the 28-nation
bloc over the last three years.
EU has been Indias largest trading partner and the two-way trade is likely to swell
significantly if the countries could firm up the long-pending Free Trade Agreement,
officially called the Broad based Investment and Trade Agreement (BTIA).
7. As per the latest amendment by CBDT, the financial Institutions should maintain
detailed information of the each individual including Name, Address, date, place of
birth and _______ of each reportable person.
A. Thumb impression
B. Bank account
C. Photograph
D. Taxpayer identification number
Answer: D. Taxpayer identification number
Explanation: History behind FATCA: FATCA was signed with the US on July 9th which will
enable automatic exchange of financial information between the two nations about tax evaders
from September 30.
8. Government of India signed a financing agreement for additional financial assistance
of USD 308.40 million for National Cyclone Risk Mitigation Projects I & II (NCRMP-I
&II) with which bank?
A. World Bank
B. People Bank of China
C. HSBC
D. Swiss National Bank
Answer: A. World Bank
Explanation: Objective of Additional Financing under NCRMP-I is to reduce the vulnerability
of coastal communities to cyclone and other hydro meteorological hazards in Andhra Pradesh and
Odisha.
Objective of NCRMP-II is to reduce vulnerability to cyclone and other hydro-meteorological
hazards of coastal communities in the States of Goa, Gujarat, Karnataka, Kerala, Maharashtra and
West Bengal and increase the capacity of the State entities to effectively plan for and respond to
disasters.
9. Saral-Rural Housing Loan, a new home loan proposition has been announced by
which bank with a special interest rate for rural areas which includes (women
borrowers as well as seekers from weaker sections)?
A. HDFC
B. ICICI
C. SBI
D. Axis
Answer: B. ICICI
Explanation: Through this scheme now borrowers can avail home loans at the ICICI Bank Base
Rate (I-Base) which is currently at 9.70%.
Interested customers can apply for the ICICI Bank Saral-Rural Housing Loan at any ICICI
Bank branch in the locations where the loan is being offered.
ICICI Bank: (Industrial Credit and Investment Corporation of India) ICICI Bank is Indias
largest private sector bank headquartered in Mumbai, Maharashtra, India. ICICI Bank is
one of the Big Four banks of India, along with State Bank of India, Punjab National Bank
and Bank of Baroda.
10. A mobile application service named IndPay has been launched by which bank
enabling its customers to operate bank accounts from anywhere, anytime?
A. Central Bank of India
B. United Bank of India
C. Canara Bank
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D. Indian Bank
Answer: D. Indian Bank
Explanation: IndPay can be operated through smartphones compatible with Android, Windows
and iOS mobile operating systems.
Customers can do transactions like enquiries, getting mini statements and transferring
funds to any account, the Chennai-based bank said in a statement.
11. Which Bank launched mortgage guarantee backed loans for affordable housing
sector?
A. SBI
B. HDFC
C. PNB
D. ICICI
Answer: D. ICICI
Explanation: Mortgage guarantee backed loans for retail customers allows a borrower to
enhance the loan amount by up to 20% and also provides the option to extend the repayment
period up to 67 years of age is launched by ICICI Bank.
ICICI Bank Extraa Home Loans will be available at the banks branches in Greater
Mumbai, NCR (National Capital Region), Bengaluru and Surat.
Under this facility they can extend their loan tenure till 65 years of age.
12. Finance Minister Arun Jaitley inaugurated the Bandhan Bank as a full-fledged
scheduled commercial bank in which city?
A. Hyderabad
B. Andhra Pradesh
C. Kolkata
D. Madhya Pradesh
Answer: C. Kolkata
Explanation: Bandhan is the first microfinance company to transform into a bank. As per RBI
guidelines, Bandhan will now merge its micro-finance business with the bank. The bank will have
two distinct wings one will cater to the micro-banking segment, targeting the rural and unbanked areas and the other will look at general banking services.
About Bandhan: Bandhan was founded in 2001 when Bandhan was operating as an NGO lending
to the poor. Bandhan turned itself to a non-banking finance company in 2006.
Bandhan Bank Limited was incorporated on 23rd December 2014 as a wholly-owned
subsidiary of Bandhan Financial Holdings Limited.
Bandhan received the in-principal approval of the Reserve Bank of India (RBI) for setting
up a universal bank in April 2014.
13. State Bank of India announced that they are working on its _____ consumer
touch model to compete with payments banks for getting access to people living in the
remote areas.
A. Stable-cost
B. High-cost
C. Low-cost
D. None of these
Answer: C. Low-cost
Explanation: Low-cost business correspondent (BC) model to reach out to rural unbanked areas
to compete with the upcoming payments banks.
The bank already has 56,000 business correspondents, and another 500 will be added to
the unbanked gram panchayats in West Bengal soon.
SBI would be opening customer service points (CSPs) in unbanked panchayats and also
train youth with minimum education so that they are able to operate a mobile phone,
printer and a scanner.
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14. An online investment account has been launched by which bank for investment in
mutual funds which will save the lengthy process of submitting the documents by an
investor who is KYC compliant?
A. ICICI
B. SBI
C. Axis Bank
D. HDFC
Answer: A. ICICI
Explanation: There will be no charges for opening the account. In order to open the account,
investor has to provide the Permanent Account Number and date of birth.
15. Government Issues Norms for Selection of CEOs and MDs of Smaller PSU Banks
according to which there will be a separate procedure for selection in some banks and
which among the following is not that bank?
A. PNB
B. BOB
C. Canara Bank
D. SBI
Answer: D. SBI
Explanation: For the five large banks viz. Punjab National Bank, Bank of Baroda, Bank of India,
Canara Bank and IDBI Bank, there will be a separate procedure for selection.
Selection Procedure: The candidates will be rated out of 100 marks with 50 marks to be
awarded for Annual Performance Appraisal Reports (APARs) of five years and 50 marks
assigned on the basis of performance during interaction with the sub-committee.
16. To strengthen the Urban Cooperative Bank (UCB) there is a committee who is the
head of this committee?
A. S. S. Mundra
B. Urjit Patel
C. R Gandhi
D. None of these
Answer: C. R Gandhi
Explanation: RBI Deputy Governor R Gandhi in its report has recommended conversion of UCBs
with business size of 20000 crore rupees or more into regular banks.
Key Recommendation: A business size of Rs.20,000 crore or more may be the threshold
limit beyond which a UCB may be expected to convert to a commercial bank. However, the
conversion isnt mandatory.
17. SEBI bars how many entities from trading for manipulating markets and evading
taxes?
A. 65
B. 69
C. 59
D. 95
Answer: C. 59
Explanation: For alleged manipulation of the stock exchange route for evading taxes, Securities
and Exchange Board of India (SEBI) in a 37-page order bars 59 entities from trading, buying,
selling or dealing in the securities markets, either directly or indirectly.
This is the third such crackdown against alleged market manipulators looking to evade
taxes or convert black money into white.
18. UAE-based bank Emirates NBD to transfer money directly into registered mobile
numbers in India from UAE, Emirates NBD has tied up with which Bank and Empays
Payment Systems?
A. HDFC
B. ICICI
C. Yes
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D. Axis
Answer: D. Axis
Explanation: Through an innovative funds remittance service DirectRemit2 Mobile, account
holders in the UAE can transfer funds to any registered mobile phone number in India.
Within 60 seconds through the DirectRemit platform funds can be transferred to the
beneficiarys account.
19. The Reserve Bank of India granted in-principle approval to 11 entities to set up
payments banks under the Guidelines for Licensing of Payments Banks. Which among
the following is not among these entities?
A. Airtel M Commerce Services Limited
B. National Securities Depository Limited
C. Tech Mahindra Limited
D. Visa
Answer: D. Visa
Explanation: The in-principle approval granted will be valid for a period of 18 months, during
which time the applicants have to comply with the requirements under the Guidelines and fulfil
the other conditions as may be stipulated by the Reserve Bank.
On being satisfied that the applicants have complied with the requisite conditions laid down by it
as part of in-principle approval, the Reserve Bank would consider granting to them a licence for
commencement of banking business.
Payment banks allow mobile firms, supermarket chains, and others to cater to individuals
and small businesses.
20. With an aim to aid small enterprises and to boost funding for start-ups in the
country, the Union Finance Minister Arun Jaitley launched two funds under which there
is India Aspiration Fund (IAF). What is the initial corpus for that?
A. Rs.3000 crore
B. Rs.2000 crore
C. Rs.1000 crore
D. None of these
Answer: B. Rs.2000 crore
Explanation: India Aspiration Fund (IAF): Under this fund, SIDBI would invest in venture capital
funds for meeting the equity requirement of MSME start-ups in the country.
Life Insurance Corp. of India (LIC) will be a partner and co-investor in this fund.
Another fund: SIDBI Make in India Loan for Enterprises (SMILE) Fund
This is a debt-fund which will carter soft term loans to MSMEs to meet debt-to-equity norms and
pursue growth opportunities.
The Initial corpus of 10, 000 crore has been set under SMILE fund.
21. Unit-Linked Insurance Plan (ULIP), a new Endowment Plus policy which offers
investment cum insurance during the term policy and provide due benefit of risk cover
and benefits of investment markets is launched by which insurance company?
A. NICL
B. GICL
C. LIC
D. None of these
Answer: C. LIC
Explanation: The policy holders will have options to choose from any of the four funds -bond
fund, secured fund, balance fund and growth fund through this policy. This policy also adds
conveniences of switching between these funds. Within a given policy year, four switches will be
allowed free of charge.
The NAV (net asset value) of all the segregated funds will be computed on daily basis and
will be based on investment performance and fund management change of each fund type.
On the launch, tomorrow, the NAV under all funds will be Rs 10.
The policy will also offer double death benefit.
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22. RBI suspended licence of 7 Non-Banking Finance Companies (NBFCs) and one
among the following is not among them and that is ________.
A. Dewra Stocks & Securities
B. Eden Trade & Commerce
C. Baja Allianz
D. RCS Parivar Finance
Answer: C. Baja Allianz
Explanation: The seven NBFCs whose licences were suspended are Religare Finance, Artisans
Micro Finance, Eden Trade & Commerce, RCS Parivar Finance, Nott Investments, Dewra Stocks &
Securities, Swetasree Finance. Reserve Bank of India is entrusted with the responsibility of
regulating and supervising the Non-Banking Financial Companies that meet the 50-50 criteria of
principal business, by virtue of powers vested in Chapter III B of the Reserve Bank of India Act,
1934.
Also as per the rules if any NBFC do not carry out its principal business according to the
directions or orders issued by RBI under the act, is eligible for penal action that can also
result in cancelling the Certificate of Registration issued to that particular NBFC.
23. State Bank of Indias mobile wallet- State Bank Buddy in collaboration with
Accenture and Master Card was launched by whom?
A. Arundhati Bhattacharya
B. Arun Jaitley
C. Rajnath Singh
D. Raghuram Rajan
Answer: B. Arun Jaitley
Explanation: He also unveiled brand logo and website for SBI Foundation, an arm set up to
implement corporate social responsibility (CSR) of the State Bank of India group.
Buddy application will be available for all customers irrespective of the bank the customer
is banking with or card customer is using. The application will be available on the Google
Play Store and Apple App Store.
The Mobile Wallet comes with features like send money to registered and new users,
recharge and pay bills instantly also book for movie tickets and flights.
24. Which Bank launched the Smart Vault, a fully automated locker available 247,
including weekends and after banking hours?
A. HDFC
B. Axis
C. Yes
D. ICICI
Answer: D. ICICI
Explanation: Smart Vault uses robotic technology to access lockers from the safe vault. It
enables customers to access their lockers in a secure lounge where the locker automatically
comes up to the customer.
Customers can access the lockers in total privacy without any intervention of the branch
staff.
Located at New Delhi, the Smart Vault is equipped with multi-layered security systems
including biometric authentication, debit card & PIN authentication, unique dimple keys that
are difficult to replicate, unbreakable lock system and the option of using additional
personal lock as well.
Comprises of a locker room for complete privacy. A customer can gain access to this locker
room by swiping their debit card and validating their identity through biometric
authentication.
25. Union Government set up a BBB to monitor key performance pointers of public
sector banks (PSBs). What is the full form of BBB?
A. Board Bank Benefits
B. Bank Board Bureau
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C. Bank Benefits for Bureau
D. None of these
Answer: B. Bank Board Bureau
Explanation: Banks Board Bureau will recommend appointment of directors in public sector
banks (PSBs) and advise on ways of raising funds and dealing with issues of stressed assets
because banks have a requirement for Rs.180,000 crore over the next four years.
It will start the functioning from 1st April 2016.
It will be six members body with at least 3 former bankers, 2 professionals and secretary,
department of financial services representing government.
BBB will also be a link between the government and banks and will be engaged with banks
to evolve strategies for them.
It will replace existing system Appointments Board in which appointments for top level jobs
at PSBs are made by an appointments committee which led by the Reserve Bank of India
(RBI) Governor.
26. Union Bank of India (UBI) in association with Visa launched three new cards i.e.
______ for its customers, generally targeting young students, high net worth
individuals and small business men.
A. One debit card and two credit cards
B. two debit card and one credit cards
C. One debit card
D. two credit cards
Answer: A. One debit card and two credit cards
Explanation: The three cards are
Business Debit Card: This will be issued to all current account holders with a cash
withdrawal limit of Rs 50,000 and daily shopping limit through point of sale and online of
Rs 2 lakh.
Unsecure Credit Card: This will be given to bank customers against lien on term deposits
with a spending limit of Rs 5 lakh.
Signature Credit Card: This will be issued to high networth customers with a spending limit
linked to the income of the individual and a cap of 20 per cent of the annual income.
27. Which Regulatory body have allowed banks to tie up with a maximum of nine
insurers from three segments which are life, nonlife and standalone health insurers?
A. IRDA
B. SEBI
C. IDRA
D. RBI
Answer: A. IRDA
Explanation: Insurance Regulatory and Development Authority of India (IRDA)
These tie-up is not mandatory on the banks and it has been left to them they are free to
take their call on the number of tie-up.
Within a short time, IRDA is likely notifying the new guidelines on the bancassurance
norms.
IRDA has been making efforts to launch a policy of open architecture bancassurance policy
but was unable to finalize the broad features of the new policy as they were not agreed by
the various stake holders of the insurance industry.
Bancassurance is a French term referred as selling of insurance through a banks. Thus it
can be said that Bancassurance Banks as Insurance Agents.
28. Which bank in Kerala have topped with maximum customer complaints filed with
the Banking Ombudsman?
A. SBI
B. PNB
C. Canara
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D. Vijaya
Answer: A. SBI
Explanation: Maximum numbers of complaints received were:
State Bank of Travancore is 673.
State Bank of India is 542.
Canara Bank is 201 and Federal Bank is 197.
However, complaints per branch received were more in case of SBI compared to SBT.
The complaints included those relating to failure to meet commitments, non-observance of fair
practices code, complaints relating to delay in sanctioning various loans, charging of excess
interest rates.
29. Which Bank launched the First Multi-Currency Contactless Card service in India?
A. Axis Bank
B. ICICI
C. SBI
D. Canara Bank
Answer: A. Axis Bank
Explanation: The bank will enable withdrawal of 15 currencies including Swiss Franc and Hong
Kong dollar besides US dollar, Euro and British Pound via Multi-Currency Forex facility.
With the launch of these cards, banks are aiming to leverage Reserve Bank of India (RBI)s
guidelines, which allow them to process contactless transactions below Rs 2,000 without a
personal Identification Number(PIN).
Axis Bank Contactless cards contain a chip and an antenna (based on radio frequency) that
facilitates seamless, faster and hassle free payments.
Banking Awareness September 2015

1. Reserve Bank of India shortly put into circulation Rs 5 coins to commemorate golden
jubilee of ______.
A. 1965 Indo-Pak War
B. 1967 Indo-Pak War
C. 1956 Indo-Pak War
D. 1968 Indo-Pak War
Answer: A. 1965 Indo-Pak War
Explanation: About the Coin:
Bear Lion Capital of Ashoka Pillar in the centre with Satyamev Jayate inscribed below it.
On the reverse bear image of Amar Jawan monument along with the design of olive leaves
branch on its left and right sides at the center, with the inscription veerata aur balidan in
Devnagri script on the left upper periphery and VALOUR AND SACRIFICE in English on the right
upper
GOLDEN JUBILEE 1965 OPERATIONS in English on the lower periphery will be written on the
reverse side of the coin.
2015 will be written below the image of the monument.
2. Central Bank of Sri Lanka (CBSL) received how much fund from the Reserve Bank of
India (RBI), under the currency swap agreement between the two reserve banks?
A. USD 1.4 billion
B. USD 1.3 billion
C. USD 2.1 billion
D. USD 1.1 billion
Answer: D. USD 1.1 billion
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Explanation: Sri Lanka already obtained USD 400 million under this arrangement, which is
available from the RBI to SAARC member countries, to increase foreign reserves. The country
received the balance 1.1 billion dollars from the Reserve Bank of India to boost foreign reserves
under a USD 1.5 billion dollar swap arrangement.
CBSL Governor Arjuna Mahendran
3. RBI had allowed which type of security to allow Non-Competitive bidding for retail?
A. T-bills
B. Cash Management Bills (CMBs)
C. State Development Loans (SDLs)
D. Dated Government Securities
Answer: A. T-bills
Explanation: RBI is also carrying consultations with stakeholders to enable seamless movement
of securities from the subsidiary general ledger (SGL) form to demat form to promote trading of
government securities on stock exchanges.
Low Retail Participation
The participation of retail investors in non-competitive bidding of dated securities has been low so
far due to low awareness about this facility and also the infrastructure to mobilise the trading has
not developed fully yet.
4. Capital markets regulator Securities and Exchange Board of India (SEBI) has directed
banks and depositories to defreeze the bank and securities accounts of which firm
afterit recovered pending dues of over Rs 11 lakh?
A. Bajaj Finance
B. Sahara Fund
C. Gemini Communications
D. None of these
Answer: C. Gemini Communications
Explanation: SEBI has recovered Rs 11,30,534 from the company towards full and final
settlement of dues which included interests, all costs, charges and expenses.
5. Which firms para-banking license scrapped by RBI in wake of several irregularities
and ignoring financial rules and regulations by it?
A. HSBC
B. Nidhi companies
C. Bajaj Finance
D. Sahara India Financial Corporation Limited
Answer: D. Sahara India Financial Corporation Limited
Explanation: In a fresh setback to the beleaguered Sahara India Pariwar, the Reserve Bank of
India (RBI) has cancelled the license of its holding company Sahara India Financial Corporation
Limited (SIFCL).
The action has been taken by the department of non-banking supervision of the RBI, in
Kanpur.
6. Which bank launched Banks of Wheels scheme in 20 backward blocks to reach the
farmers and other people in remote areas of the state?
A. Odisha State Cooperative Bank Limited
B. Amanath Co-op. Bank Ltd.
C. Punjab & Maharashtra Co-op. Bank Ltd.
D. Khamgaon Urban Co-op. Bank Ltd.
Answer: A. Odisha State Cooperative Bank Limited
Explanation: This scheme is launched by Odisha CM Naveen Patnaik and he also also
inaugurated the Core Banking Data Management Centre to provide connectivity to all branches.
7. As per World Federation of Exchanges (WEF) report which has the highest number of
listed companies in the world?
A. NASDAQ
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B. London Stock Exchange Group
C. Bombay Stock Exchange
D. New York Stock Exchange
Answer: C. Bombay Stock Exchange
Explanation: It was established in 1855.
Total number of 5689 companies were listed with the BSE. In that only one company was a
foreign company.
The National Stock Exchange of India (NSE) had 1750 listed companies by the end of June
2015.
Shanghai stock exchange of China (1070 companies) was at the top in terms of value of share
trading with 30 trillion US dollars. BSE MD & CEO : Ashish Chauhan
8. Which bank opened its 2600th branch in Hyderabad?
A. SBI
B. Andhra Bank
C. PNB
D. ICICI
Answer: B. Andhra Bank
Explanation: Managing Director and CEO Satish Kumar Kalra e-launched the 2600th branch at
Yadgirigutta and the 3000th ATM at Sunshine Hospital in Secunderabad.
Andhra Bank, has branch across 26 States and 3 Union Territories.
43 per cent of the branches are in semi-uban/rural areas and 231 of the branches are in
unbanked rural centres. During the current fiscal, the bank added 100 branches and plans to add
over 300 by March 2016.
Andhra Bank Headquarters: Hyderabad.
9. Merging of SEBI and the FMC was decided by which ruling party in the Union Budget
of 2014-15?
A. BJP
B. AAP
C. Congress
D. None of these
Answer: C. Congress
Explanation: Forward Markets Commission (FMC) is now fully covered by the capital market
regulator SEBI after the merger. It is first ever merger of two regulatory bodies.
SEBI was set up in 1988 as a non-statutory body for regulating the securities markets. It
became an autonomous body in 1992 with fully independent powers.
FMC was a regulator for commodities markets since 1953 but due to lack of powers it led to
alleged irregularities and speculative illegal activities like dabba trading and these became the
part of this segment.
Also the NSEL (National Spot Exchange Ltd) scam let down this market with money crisis of Rs
5000 crores.
10. Which Bank contemplated a move of not having its own ATMs and making
transactions at rivals ATMs free for customers?
A. HDFC
B. ICICI
C. IDFC
D. Bandhan
Answer: C. IDFC
Explanation: IDFC Bank customers may be allowed to use existing automated teller machines
(ATMs) without any charges.
Money paid to bank for installing and maintaining the ATMs from third parties works out almost
the same as the fees paid to other banks for a transaction.
Generally, a bank pays under Rs.20 to another bank for helping its customer carry out a
transaction, but it can be negotiated down.
Component of rural branches, being called Bharat Bank at IDFC.
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11. In order to facilitate e-commerce, Reserve Bank of India (RBI) started allowing
banks to enter into pacts with Online Payment Gateway Service Providers (OPGSPs) for
import purpose. The facility will only be available for import of ______.
A. Goods and software
B. Hardware & Software
C. Goods only
D. None of these
Answer: A. Goods and software
Explanation: Foreign entities, willing to operate as OPGSP, will have to open a relationship office
in India with the approval of RBI before operationalising the arrangement with any bank.
On the other side, domestic entities functioning as intermediaries for e-payment transactions
and intending to undertake cross border transactions will have to maintain separate accounts for
domestic and cross border transactions.
RBI had earlier permitted banks to offer the facility to repatriate export related remittances by
entering standing arrangements with OPGSPs in respect of export of goods and services. The limit
has been fixed at USD 10,000.
12. Which among the following bank launched MUDRA Card for Micro and Small
entrepreneurs to meet their credit requirement?
A. PNB
B. Central bank of India
C. Bank of Maharashtra
D. SBI
Answer: C. Bank of Maharashtra
Explanation: The card was launched on the occasion of Banks 81st Foundation Day Celebrations.
Highlights of the Card:
MUDRA Card issued as a Rupay Debit Card and it is a hassle free flexible Credit Product that
meets in working capital needs of Micro and Small Entrepreneurs.
Cash can be withdrawn from any ATM or purchase from Merchandise using POS machine.
In addition to that, Bank of Maharashtra is offering MUDRA loans at competitive rates @Base
Rate and no processing charges are levied for the loans up to Rs 5.00 lakh.
13. SEBI has slapped its highest ever fine of 7,269 crore, on which firm PACL and its
directors?
A. TCL
B. NTAL
C. PACL
D. NPCL
Answer: C. PACL
Explanation: The reason is for failing to register the companys collective investment scheme
(CIS).
The CIS took thousands of crores from small investors.
PACL, formerly Pearl Agrotech Corporation, is in the business of realty and land development.
14. Which financial company got RBI nod for using Rs 2,500 crore reserve as provision
against bad loans?
A. IDFC
B. Reliance
C. IDBI
D. Bajaj Allianz
Answer: A. IDFC
Explanation: RBI has granted the approval to utilize non-distributable Statutory Reserves of Rs
2,500 crore for the creation of specific provisions against stressed assets.
15. Which bank has won first prize under Rajbhasha Kirti Purashar Scheme?
A. BMB
B. BOB
C. BOM
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D. PNB
Answer: B. BOB
Explanation: This PSU bank has secured the award for its outstanding performance in official
language implementation under the category of nationalized banks in the linguistic region B
for the year 2014-15.
Ranjan Dhawan, MD & CEO of the Bank of Baroda received the award from President Pranab
Mukherjee at Vigyan Bhavan, New Delhi on the occasion of Hindi Diwas.
Bank of Baroda also won many prizes at national level for the performance in official language
implementation.
16. Which e-commerce company launched Indias first payments bank?
A. FlipKart
B. Snapdeal
C. Amazon
D. Paytm
Answer: D. Paytm
Explanation: Paytm is the one among the 11 applicants who got the approval from RBI to
establish payment banks recently.
Paytm to get Rs 10,000 crore in deposits in the next three years. It has more than 104 million
mobile wallets and it is expected that it will reach 150 million mobile wallets by March 2016.
17. SBI Card launched SimplyCLICK an online specific credit card in association with
seven of biggest e-commerce partners which is not included in these partners?
A. Amazon India
B. Ola Cabs
C. Food Panda
D. Snapdeal
Answer: D. Snapdeal
Explanation: Seven of biggest e-commerce partners includes Amazon India, BookMyShow,
Cleartrip, Ola Cabs, LensKart, Food Panda and Fab Furnish.
SimplyCLICK is Indias 1st ever credit card that focuses on online shopping across different
categories.
Customers who will spend more than Rs.2 lakh via online will receive Rs 4000 worth of
Vouchers.
Customers will have to pay a fee of Rs. 499. But they will also get an Amazon e-gift welcome
voucher worth of Rs. 500.
Banking Awareness October 2015

1. In accordance with recapitalization plan, how many public sector banks allotted
equity shares to government in lieu of capital infusion of Rs 13,955 crore?
A. 9
B. 6
C. 8
D. 10
Answer - C. 8
Explanation - In July 2015, Government proposed a recapitalization plan aimed to induct Rs.
70000 cr in PSU banks to boost their capital base. In this regard 8 public sector banks have
allotted equity shares on preferential basis to the government in lieu of capital infusion of Rs
13,955 crore.
Banks allotted equity shares to govt include State Bank of India, Bank of India, Punjab
National Bank, Canara Bank, Corporation Bank, Dena Bank, Andhra Bank and Bank of
Baroda.
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2. Which bank has become the first institution worldwide to launch mVisa - a card
less and device-less solution friendly with mobile space?
A. SBI
B. Axis
C. ICICI
D. HDFC
Answer - C. ICICI
Explanation - Mumbai headquartered ICICI Bank marked its digital advancement by becoming
the first institution worldwide to launch mVisa - a card less and device-less solution friendly with
mobile space.
It was developed by Visa International in India.
It is interoperable which means that the merchant who is having mVisa network of one
bank can able to accept payments from the other banks having that network.
3. RBI has named which bank as the worst performer in public sector banks with
highest number of non-performing assets (NPAs)?
A. Indian Overseas Bank
B. Corporation Bank
C. Dena Bank
D. UCO Bank
Answer - D. UCO Bank
Explanation - As per RBI, Kolkata headquartered UCO Bank named as the worst performer in
public sector banks with highest number of non-performing assets (NPAs) recorded against it with
gross advances ratio raised to 8.05% from 4.47%.
Other Bad Performers PSBs during 2014-15
Chennai headquartered Indian Overseas Bank(IOB) with 8.30% from 3.46%
Pune headquartered Bank of Maharashtra(BoM) with 6.18% from 3.02%
Mumbai headquartered Dena Bank increased to 5.29% from 3.33 per cent
Mangalore headquartered Corporation Banks rose from 3.42% to 4.80%
4. As per the FinMin report, RBI can act as the aggregator of payments by using its
core banking solution for the upcoming solution GST. What is the name of RBI's
core banking solution?
A. e-ICBA
B. BaNCS
C. e-Kuber
D. Finacle
Answer - C. e-Kuber
Explanation - According to the finance Ministry Report Reserve Bank of India (RBI) can act as
the aggregator of payments by using RBIs core banking solution e-Kuber for the upcoming GST
that is expected to be rolled out in April 1, 2016.
This will facilitate participation of larger number of banks in GST receipts which will
enhance convenience for the tax payers, single source of information and simplifying
accounting and reconciliation tasks.
5. Which of the following bank tied up with bankbazaar.com for capturing retail loan
business?
A. Andhra Bank
B. Corporation Bank
C. Dena Bank
D. UCO Bank
Answer - C. Dena Bank
Explanation - Dena Bank has entered into a tie-up with online financial product aggregator
bankbazaar.com for capturing retail loan business through the firms online platform.
The retail loans such as housing, car, and used cars, and savings account will strengthen
the banks online presence and significantly support its growing retail portfolio.
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6. Which of the following bank had initiated the countrywide crusade to position
itself as a premier digital bank by benefitting customers?
A. SBI
B. HDFC
C. Axis
D. ICICI
Answer - B. HDFC
Explanation - Mumbai headquartered HDFC has initiated the countrywide crusade to position
itself as a premier digital bank by benefitting customers with banks latest technological products
and offerings.(HDFC MD Aditya Puri)
Campaign Name Har Zaroorat Poori Ho Chutki Mein, Bank Aapki Mutthi Mein
Campaign Theme Digital banking is enabling customer convenience as never before
7. Which non-bank lender has received regulatory approvals to set up a housing
finance company?
A. Shriram Transport Finance
B. M & M Financials
C. Bajaj Finance
D. Muthoot Finance
Answer - C. Bajaj Finance
Explanation - The housing finance company licence will strengthen its competitive position by
giving additional avenues of borrowings, lower risk weights for certain class of loan and allow
easier legal repossession.
8. RBI has permitted which of the following bank to sponsor a mutual fund and to
set up an AMC and trustee company?
A. SBI
B. Axis
C. Yes
D. ICICI
Answer - C. Yes
Explanation - Maharashtra headquartered Yes Bank has got the RBI permission to sponsor a
mutual fund and to set up Asset Management Company (AMC) and Trustee Company.
AMC and Trustee Company will be wholly owned subsidiaries of Yes Bank.
9. The annual meeting of World Bank Group & International Monetary Fund was held
in which of the following country?
A. Paraguay
B. Peru
C. Palau
D. Panama
Answer - B. Peru
Explanation - From 9th October to 11th October 2015, the annual meeting of World Bank group
and the International Monetary Fund were held at Lima, Peru.
Ministers of Finance and central bank governors from 188 member countries took part in
the meeting.
10.
As a part of digital banking, Kotak Mahindra Bank (KMB) launched its Kotak
Bharat app in which of the following language that requires no Internet
connectivity?
A. Konkani
B. Kashmiri
C. Punjabi
D. Kannada
Answer - D. Kannada
Explanation - As a part of digital banking Mumbai headquartered Kotak Mahindra Bank has
launched the Kotak Bharat app in Kannada that requires no Internet connectivity and also enables
customers to manage their savings accounts, current accounts and credit cards.
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With this KMB becomes the first Indian Bank to enable customers to do cashless
transactions by transfer up to Rs. 2,500 per day and at a time.
11.
RBI has granted its nod to which of the following bank, for setting up of
subsidiary that will work on banks real estate assets?
A. Canara
B. Axis
C. SBI
D. HDFC
Answer - C. SBI
Explanation - Mumbai headquarter SBI bank has received a nod from RBI for setting up of
subsidiary that will work on banks real estate assets. With the establishment of subsidiary bank
can able to purely focus on its core activities.
KPMG would be the helping hand bank in setting up its subsidiary.
Real estates holding of bank is Rs 25000 crore.
12.
RBI had merged the two funds to form a single Financial Inclusion Fund.
This new FIF will be maintained by which of the following?
A. Govt
B. RBI
C. NABARD
D. IRDAI
Answer - C. NABARD
Explanation - In 2007-2008 two funds named as Financial Inclusion Fund (FIF) and Financial
Inclusion Technology Fund (FITF) was introduced; now these two had merged the two funds to
form a single Financial Inclusion Fund.
Outlay 2000 crore
This new FIF will be administered by Advisory Board of GOI and will be maintained
by NABARD.
13.
As a part of Look East Policy RBI had opened a new sub-office in which of
the following city?
A. Darjeeling
B. Imphal
C. Kohima
D. Gangtok
Answer - B. Imphal
Explanation - As a part of Look East Policy RBI has opened a new sub-office in Imphal which
will support unbanked block of North-East to have banking presence.
With this, RBI offices are expanded to 5 states in North-East.
14.
Which of the following had enhanced its mobile financial solution
mobiquity to meet the needs of the payments and small finance banks in India?
A. Bajaj Finance
B. Muthoot Finance
C. Mahindra Comviva
D. M & M Financials
Answer - C. Mahindra Comviva
Explanation - Having 25% market share in the global mobile money market, Mahindra Comviva
publicized its gaining to the Indian market to provide the technological solutions and
infrastructure to the payments banks in India on sidelines of the RBIs announcement to issue
licenses to 11 payments banks.
15.
Which of the following bank became the first public sector bank to partner
with Chillr?
A. Canara
B. Axis
C. SBI
D. HDFC
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Answer - D. HDFC
Explanation - Mumbai headquartered Bank of Baroda launched Chillr Mobile app. With this BOB
becomes the first public sector bank to partner with Chillr.
Chillr, a first-of-its kind application, is directly linked to the customers bank account.
Customer can send or receive money to or from any person in India.
16.
RBI had signed a Memorandum of Understanding (MoU) with the Central
Bank with which of the following country on Supervisory Cooperation and
Exchange of Supervisory Information?
A. Comoros
B Djibouti
C. Somalia
D. UAE
Answer - D. UAE
Explanation - Reserve Bank of India has signed a Memorandum of Understanding (MoU) with the
Central Bank of UAE, United Arab Emirates on Supervisory Cooperation and Exchange of
Supervisory Information.
It was signed at the Head Office of Central Bank of UAE at Abu Dhabi, United Arab
Emirates.
17.
National Bank for Agriculture and Rural Development (NABARD) had
sanctioned how much worth of loan to Haryana for rural development?
A. Rs 152 crore
B. Rs 135 crore
C. Rs 125 crore
D. Rs 153 crore
Answer - B. Rs 135 crore
Explanation - The National Bank for Agriculture and Rural Development (NABARD) has
sanctioned a loan of Rs 134.64 crore to the Haryana government under Rural Infrastructure
Development Fund for 2015-16.
The funds have been sanctioned for Rehabilitation of JLN feeder system in three districts
of Jhajjar, Rewari and Mahendergarh.
18.
Government has exempted the banking correspondents from service tax in
the rural area branches of banking companies under which Govt scheme?
A. PMSSY
B. PMKSY
C. PMJDY
D. PMKVY
Answer - C. PMJDY
Explanation - The Government has exempted the banking correspondents from service tax for
account opening, cash deposits, cash withdrawals, obtaining e-life certificates and Aadhaar
seeding in the rural area branches of banking companies under Pradhan Mantri Jan Dhan Yojana
(PMJDY).
19.
How many payment banks were authorized by Reserve Bank of Indian to
start their operations?
A. 12
B. 10
C. 8
D. 11
Answer - D. 11
Explanation - RBI had nodded 11 payment banks to start their operations. They cant offer loans
but can raise deposits of upto Rs. 1 lakh, and pay interest on these balance
Here are 11 payment banks
Aditya Birla Nuvo Ltd, Airtel M Commerce Services Ltd , Cholamandalam Distribution
Services Ltd, Department of Posts, Fino PayTech Ltd, National Securities Depository Ltd,
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Reliance Industries Ltd, Dilip Shantilal Shanghvi, Vijay Shekhar Sharma, Tech Mahindra Ltd
& Vodafone m-pesa Ltd
20.
Which of the following bank had inked partnership with Snapdeal and Blue
Dart to facilitate faster seller payments?
A. SBI Bank
B. Yes Bank
C. Axis Bank
D. ICICI Bank
Answer - B. Yes Bank
Explanation - Maharashtra headquartered Yes Bank has inked a partnership with Snapdeal and
Blue Dart to enhance the Cash on Delivery (COD) model by making strategic interventions in the
financial supply chains of these companies.
The partnership is under Yes Transact (Yes Banks banking product suite) and will enable
Snapdeal to receive cash-on-delivery proceeds from Blue Dart in a faster and streamlined
manner.
Yes Bank will act as a collection banker to Blue Dart for its cash handling.
Yes Bank had earlier partnered with Snapdeal to implement industrys first API banking
services enabling Snapdeal to process customer refunds within an hours time.
21.
Which of the following bank has become the first bank in India to enable
multi-lingual capability for mobile banking?
A. Andhra Bank
B. HDFC Bank
C. Federal Bank
D. Canara Bank
Answer - C. Federal Bank
Explanation - Kochi headquartered Federal Bank had launched Malayalam and Hindi language
versions for its mobile banking application FedMobile.
Malayalam language version was launched by renowned writer Madathil Thekkepaattu
Vasudevan Nair Vasudevan Nair.
The bank has become first bank in India to enable multi-lingual capability for mobile
banking.
22.
Securities and Exchange Board of India had ordered attachment of banks
and demat accounts of how many entities to recover dues imposed on them for
violation of norms?
A. 13
B. 11
C. 8
D. 5
Answer - B. 11
Explanation - SEBI has ordered attachment of banks and demat accounts of 11 entities to
recover dues worth nearly Rs 22 lakh imposed on them for violation of norms.
The firms against which SEBI has passed orders Hind Developers, Munak Galva Sheets,
Navin Chemicals Manufacturing and Trading Company, Cepham Pharmaceuticals, Cepham
Organics, Intercraft, Sanjay Agro Industries, Jai Mata Industries, Majestic Overseas, Anmol
Drugs and Pharmaceuticals and Ambuja Agro Industries.
23.
Japan has offered to finance Indias first bullet train with an estimated cost
of Rs. 90000 crores at the rate of what %?
A. 1%
B. 0.5%
C. 0%
D. 0.1%
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Answer - D. 0.1%
Explanation - Japan has offered to finance Indias first bullet train with an estimated cost of Rs.
90000 crores at an interest rate of 0.1%.
The loan is on the condition that India buys 30% of equipment including the coaches and
locomotives from Japanese firms.
The bullet train is expected to have speeds between 300km/h and 350km/h.
24.
E-commerce platform Paytm had tied up with which of the following bank
to offer mobile wallet top up facility through bank ATMs?
A. Dhanalakshmi Bank
B. Allahabad Bank
C. Bank of Maharashtra
D. Bank of Baroda
Answer - C. Bank of Maharashtra
Explanation - E-commerce platform Paytm has tied up with Pune Headquartered Bank of
Maharashtra to offer mobile wallet top up facility through bank ATMs.
It will now be able to make their mobile or utility bills payment or pay for services such as
cab fare and more by topping up their Paytm mobile wallets through the banks 1800 ATM
network.
Earlier Paytm tied up with Miranda stores in Andhra Pradesh and ICICI bank.
25.
As per Reserve Bank of India (RBI) notification, FIIs and RFPIs can invest
upto how much % of the paid up capital of DEN Networks Limited under the
Portfolio Investment Scheme (PIS)?
A. 74%
B. 72%
C. 49%
D. 68%
Answer - A. 74%
Explanation - The Reserve Bank of India (RBI) notified that the Foreign Institutional Investors
(FIIs)/Registered Foreign Portfolios Investors (RFPIs) can now invest up to 74 percent of the paid
up capital of DEN Networks Limited under the Portfolio Investment Scheme (PIS).
26.
Which of the following had started its operations from its IFSC banking unit
at the Gujarat International Finance Tec City?
A. SBI Bank
B. Yes Bank
C. Axis Bank
D. ICICI Bank
Explanation - Maharashtra headquartered Yes Bank has started operations from its IFSC banking
unit at the Gujarat International Finance Tec City.
It is the first bank to start operations in GIFT City by setting up an IBU (IFSC Banking
Unit).
It will also allow the bank to raise foreign currency funding through MTNs and other routes
as appropriate.
27.
With a view to streamline the taxation procedure, eSahyog and PAN camps
was launched by which of the following?
A. IRDA
B. RBI
C. FinMin
D. SEBI
Answer - C. FinMin
Explanation - Arun Jaitley launched two taxpayer eSahyog and PAN camps friendly measures
with a view to streamlining the taxation procedure.
e-Sahyog is aimed at reducing compliance cost, especially for small taxpayers.
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PAN camps are aimed at expanding the coverage of number of people through Permanent
Account Number (PAN). While 23 crore PAN card have been issued, only 5 crore people file
income tax returns.
28.
Which of the following bank announced to set up project development firm
KPDC (Kukuza Project Development Company) in Africa ?
A. Axis
B. EXIM
C. SBI
D. ICICI
Answer - B. EXIM
Explanation - Indias EXIM bank announced that it will set up in Africa a development firm
KPDC(Kukuza Project Development Company), in collaboration with others, to expedite the
infrastructure project from the concept stage to the commissioning stage in the African continent.
29.
Reserve bank of India has allowed Non-Resident Indians (NRIs) to
subscribe the National Pension System (NPS) as an investment option under
which act?
A. FEMA, 1998
B. FEMA, 2004
C. FEMA, 1991
D. FEMA, 1999
Answer - D. FEMA, 1999
Explanation - Reserve bank of India has allowed Non-Resident Indians (NRIs) to subscribe the
National Pension System (NPS) as an investment option under FEMA, 1999.
NRIs will get access to NPS which is governed and administered by the Pension Fund Regulatory
and Development Authority (PFRDA).
Highlights
Restriction on annuity There will be no restriction on repatriation of the annuity/
accumulated savings.
Minimum annual subscription It will be Rs 6,000 under NPS while allocation to equities is
capped at 50% of investment.
Subscription maturity NPS investments mature when the investor turns 60.
If the amount is < Rs 2 lakh, the entire sum can be withdrawn.
If amount is > Rs 2 lakh the subscriber must put at least 40% of the corpus into an annuity to get
a monthly pension.
30.
Which of the following was appointed as the Chief Economist of CitiBank?
A. Vinaya Parvate
B. Kartik Kaushik
C. Samiran Chakraborty
D. Pramit Jhaveri
Answer - C. Samiran Chakraborty
Explanation - Samiran Chakraborty has been appointed as Chief Economist of global banking
major Citibank for India.
Prior to this appointment, he was Managing Director (MD) and head at Standard Chartered
Bank for macro research in South Asia.
Banking Awareness November 2015

1. The Reserve Bank has fixed how much public issue price, per gram, for second
tranche of sovereign gold bonds?
A.Rs. 2,864
B.Rs. 2,700
C.Rs. 2,684
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D.Rs. 2,600
Answer - D.Rs. 2,600
Explanation - Recently RBI has fixed the public issue price at Rs. 2,600 per gram for the second
tranche of sovereign gold bonds.
This pricing has made more attractive in comparison to first tranche (Nov 2015) when the
issue price was Rs. 2,684 per gram.
2. Reserve Bank of India had penalized which of the following bank, with Rs 1 crore,
for the non-adherence to KYC and anti-money laundering guidelines?
A.Catholic Syrian Bank
B.Lakshmi Vilas Bank
C.Dhanlaxmi Bank
D.Allahabad Bank
Answer - C.Dhanlaxmi Bank
Explanation - Thrissur (in Kerala) headquartered Dhanlaxmi Bank was imposed with monetary
penalty of Rs 1 crore by RBI for violation of Know Your Customer (KYC) norms and Anti Money
Laundering (AML) standards.
3. Reserve Bank of India had included Bandhan Bank and IDFC bank in the second
schedule list of which act, which makes them eligible for loans from central bank
at bank rate?
A.RBI Act, 1957
B.RBI Act, 1934
C.RBI Act, 2006
D.RBI Act, 1948
Answer - B.RBI Act, 1934
Explanation - Reserve Bank had included Bandhan Bank and IDFC Bank in the second schedule
list of Reserve Bank of India Act, 1934, making it eligible for loans from the central bank at bank
rate.
Besides them, Industrial Bank of Korea and Korea Exchange Bank Co Ltd also been
included in the second schedule of RBI Act.
4. State Bank of India has announced a partnership deal with which of the following
bank, to help NRI customers to carry out their remittances instantly and more
conveniently?
A.Citibank UAE
B.Noor Bank
C.Islamic Bank
D.EmiratesNBD
Answer - D.EmiratesNBD
Explanation - Dubai headquartered Emirates NBD announced a partnership deal with Mumbai
headquartered State Bank of India for the DirectRemit 60 seconds remittance platform, so to
help NRI customers to carry out their remittances instantly and more conveniently.
NBD has existing tie-ups with HDFC Bank, ICICI Bank and Axis Bank in India.
The partnership will allow fund transfers to SBI bank accounts across India in 60 seconds at
zero fees via online, mobile banking & ATMs.
5. On the sidelines of PM Modi visit to UK, which of the following two banks had
announced to list their bonds on the London Stock Exchange?
A.HDFC & Axis
B.SBI & HDFC
C.HDFC & YES Bank
D.Yes Bank & ICICI
Answer - C.HDFC & YES Bank
Explanation - Mumbai headquartered Housing Development and Finance Corporation (HDFC) and
Maharashtra headquartered YES Bank announced to list their bonds on the London Stock
Exchange.
YES Bank is planning to raise $500 mn by issuing of Green bonds.
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HDFC is planning to raise $750 mn by issuing rupee denominated offshore bonds aka
masala bonds.
6. Indias has made its first Low Income State Infrastructure Equity Partnership i.e.
"Neev Fund" with which of the following country?
A.Japan
B.UK
C.US
D.UAE
Answer - B.UK
Explanation - To provide equity partnerships for small infrastructure development, first Low
Income State Infrastructure Equity Partnership i.e. "Neev Fund" was launched by NaMo in UK.
The Fund has co-investment from the UK Department of International Development and
Mumbai headquartered State Bank of India.
The fund will invest in small infrastructure projects in eight low-income states.
7. Global index provider FTSE Russell had signed an agreement with which Indian
Bank to launch Indias first bond index?
A.ICICI
B.Yes Bank
C.HDFC
D.SBI
Answer - D.SBI
Explanation - On the sidelines of PM Modi visit to UK, Global index provider FTSE Russell and
Mumbai headquartered State Bank of India signed an agreement to launch Indias first bond
index.
The launch of a bond index was in line with the RBIs efforts to deepen the bond markets
and bring in more retail investors.
8. Credit deal has been inked for the Andhra Pradesh Rural Inclusive Growth Project
between Centre, Andhra Pradesh and World Bank for how much amount?
A. $80 million
B. $75 million
C. $86 million
D. $60 million
Answer - B. $75 million
Explanation - The Centre, Andhra Pradesh and the World Bank have inked a $75 million (500
crore) credit deal for the Andhra Pradesh Rural Inclusive Growth Project.
The project seeks to enhance agricultural incomes of small and marginal farmers especially
from SC & ST households and ensure increased access to services related to health,
nutrition, sanitation and social entitlements.
9. In November 2015, Foreign Investment Promotion Board (FIPB) has cleared six
FDI proposals for how much amount, which were envisaging foreign investments?
A.8180 crore
B.1810 Crore
C.1081 Crore
D.8110 Crore
Answer - B.1810 Crore
Explanation - The Foreign Investment Promotion Board (FIPB) has cleared six FDI proposals
consisting of IIFL Holdings, Agile Electric Sub Assembly, Sharekhan Ltd, SeQuent Scientific and
US-based Monsoon Capital for investment Alternative Investment Trust (AIF) with an outlay of Rs
1,810 crore.
10.
RBI allows Regional Rural Banks (RRBs) with miniumum how much of net
worth to launch online transaction through internet banking?
A.Rs 80 crore
B.Rs 200 crore
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C.Rs 150 crore
D.Rs 100 crore
Answer - D.Rs 100 crore
Explanation - Reserve Bank of India has allowed Regional Rural Banks (RRBs) minimum Rs 100
crore networth to launch online transaction through internet banking.
Eligibility:
Banks with capital adequacy ratio over 10% will be allowed to introduce the online
transaction services.
RRBs need to have their gross NPA ratio less than 7% and their net NPA should not exceed
3%.
The bank should have made a net profit in the immediate preceding financial year and
overall, should have made net profit at least in 3 out of the preceding four financial years.
11.
India-Bangladesh electricity network is financed by which lending body
under SASEC Program with $120 million of loan?
A. International Monetary Fund
B. World Bank
C. Asian Development Bank
D. New Development Bank
Answer - C. Asian Development Bank
Explanation - The Asian Development Bank (ADB) will finance India-Bangladesh electricity
network with $120 million loan as a part of inter-connection project South Asia Subregional
Economic Cooperation (SASEC) Program.
The new transmission capacity between two inter connected networks will be 1000MW.
The project is expected to be completed by June 2018.
12.
Insurance Regulatory and Development Authority (IRDA) has approved
which banks subsidiary to commence business as an insurance company?
A. Indusind bank
B. Kotak Mahindra
C. Andhra Bank
D.Bandhan Bank
Answer - B. Kotak Mahindra
Explanation - Kotak Mahindra General Insurance Company (Kotak General Insurance) has
received approval of the Insurance Regulatory and Development Authority (IRDA) to commence
business as an insurance company.
13.
Axis Bank opened its representative office in which of the following city of
Bangladesh to facilitate trade transactions?
A. Sylhet
B. Chittagong
C. Rangpur
D. Dhaka
Answer - D. Dhaka
Explanation - Mumbai headquartered Axis Bank opened a representative office in Dhaka, capital
city of Bangladesh to leverage the growing economic integration between the two countries by
actively facilitating trade transactions, both inbound as well as out-bound.
14.
Which of the following has become the first commercial state-owned bank
to raise $350 million via selling green bonds?
A.SBI
B.Canara
C.IDBI
D.IDFC
Answer - C.IDBI
Explanation - Mumbai headquartered IDBI Bank has become the first commercial state-owned
bank to raise $350 million via selling green bonds, where proceeds are used for clean energy
projects.
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Bond will be of five-year maturity.
15.
Securities and Exchange Board of India (SEBI) had signed memorandum of
understanding with which of the following nation's Exchange Commission, on
bilateral cooperation and technical assistance?
A. Russia
B. Canada
C. Bangladesh
D. Sri Lanka
Answer - C. Bangladesh
Explanation - Equities and commodities market regulator Securities and Exchange Board of India
(SEBI) and the Bangladesh Securities and Exchange Commission (BSEC) signed a
memorandum of understanding on bilateral cooperation and technical assistance.
SEBI has been actively engaging with the regulators in the SAARC region.
The regulator has already signed 20 bilateral MoUs with other countries.
16.
Which of the following bank had partnered with Tata-SIA joint venture
airline Vistara to launch a travel credit card next year under a strategic
partnership?
A. ICICI
B. Axis
C. HSBC
D. HDFC
Answer - B. Axis
Explanation - Mumbai headquartered Axis Bank has joined hands with Tata-SIA joint venture
airline Vistara to launch a travel credit card which will offer a host of privileges and benefits to
the business and leisure travellers of Vistara.
17.
International Trade in Banking Services survey was released by which
body that was based on the branches or subsidiaries of Indian banks operating
abroad and foreign banks operating in India?
A.IMF
B.NDB
C.RBI
D.WEF
Answer - C.RBI
Explanation - The 2014-15 round of Survey on International Trade in Banking Services, released
by RBI, was based on the branches or subsidiaries of Indian banks operating abroad and foreign
banks operating in India.
Indian banks' overseas branches reported 11.3% rise in credit growth at Rs 8.33 lakh crore
during 2014-15.
18.
Sonic branding worth Rs 30 crore to promote the new brand positioning,
which stresses on the digital banking had been launched by which bank?
A. Axis
B. ICICI
C. IDBI
D. HDFC
Answer - D. HDFC
Explanation - HDFC Bank has launched sonic branding or a musical logo it will spend over Rs 30
crore to promote the new brand positioning which stresses on the digital banking.
The sonic branding is being included at all the touch-points like ATMs and phone-banking
application, where customers will hear the tune.
19.
Which of the following bank will wind up its private banking business in
India through which it provides asset-management services to wealthy
individuals?
A. Credit Suisse
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B. HSBC
C. Doha bank
D. UBS AG
Answer - B.HSBC
Explanation - Hong Kong and Shanghai Banking Corp. Ltd (HSBC) will shutter its private banking
business in India through which it provides asset-management services to wealthy individuals.
20.
World Bank has launched market-based scheme for how much of worth to
help developing countries pay for emission reductions and combat climate
change?
A. $ 400 mn
B. $ 300 mn
C. $ 200 mn
D. $ 500 mn
Answer - D. $ 500 mn
Explanation - World Bank launched a $500 million market-based scheme designed to help
developing countries pay for emission reductions and combat climate change.
Germany, Norway, Sweden and Switzerland have jointly pledged an initial $250 million to
get the Transformative Carbon Asset Facility (TCAF).
21.
Which State Bank of Indias subsidiary has launched affordable housing
loan scheme for economically weaker sections in the urban centres?
A. State Bank of Patiala
B. State Bank of Travancore
C. State Bank of Hyderabad
D. State Bank of Mysore
Answer - B. State Bank of Travancore
Explanation - State Bank of Travancore (SBT) has launched a Housing for All (Urban): Mission
2022 to provide affordable housing to families belonging to the economically weaker
sections/low-income groups in the urban centres.
The loans will be available for beneficiaries in two segments:
Those with a household annual income of up to Rs. 3 lakh under the economically weaker
sections
Those with a household annual income between Rs. 3, 00,001 and Rs. 6 lakh under the
low-income group.
22.
Which bank was tied up with the Navodhan Charitable Foundation in its
efforts for timely detection of cancer?
A. IDBI Bank
B. Axis Bank
C. Union Bank
D. Canara Bank
Answer - D. Canara Bank
Explanation - Karnataka Headquartered Canara Bank has tied up with the Navodhan Charitable
Foundation in its efforts for timely detection of cancer.
It has helped the foundation to acquire a mobile cancer detection unit fitted with the best
facilities as part of its corporate social responsibility (CSR) drive.
Banking Awareness December 2015

1. Which public sector bank is set to raise up to Rs.12, 000 crore by issuing bonds that
are Basel-III complaint?
A. Canara Bank
B. Indian Overseas Bank
C. Allahabad Bank
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D. State Bank of India
Answer - D. State Bank of India
Explanation - The Committee of Directors has authorised the Mumbai headquartered State Bank
of India (SBI) to raise up to Rs.12,000 crore by way of issue of Basel-III compliant Tier-II bonds,
at par, through private placement.
What is Basel-III?
Basel III is the third in the series of Basel Accords. These accords deal with risk management
aspects for the banking sector. Basel 3 measures aim to improve the banking sector's ability to
absorb shocks arising from financial and economic stress, improve risk management and
governance & strengthen banks' transparency and disclosures.
2. In a bid to curb black money, the government has made it mandatory to quote PAN
for all transactions exceeding how much amount?
A.Rs. 2.5 lakh
B.Rs. 1.5 lakh
C.Rs. 2 lakh
D.Rs. 1 lakh
Answer - C.Rs. 2 lakh
Explanation - The government has made it mandatory to quote PAN (permanent account
number) for all transactions in excess of Rs.2 lakh, regardless of the mode of payment w.e.f.
January 1, 2016 covering purchases of all goods or services.
In case of immovable property monetary limit raised from Rs.5 lakh to Rs.10 lakh.
In the case of hotel or restaurant bills paid at any one time and for bills on account of
overseas travel, it raised the limit from Rs. 25, 000 to Rs. 50, 000.
In case of purchase or sale of shares of an unlisted company limit is being raised from Rs.
50,000 to Rs.1 lakh.
3. Pension Fund Regulatory and Development Authority of India (PFRDA) has started
using which identity proof instead of Aadhaar for online opening of National Pension
System (NPS) account?
A. Voter ID card
B. Driving License
C. PAN (permanent account number)
D. Passport
Answer - C. PAN (Permanent Account Number)
Explanation - Following a Supreme Court judgment on usage of Aadhaar, Pension fund
regulatory body PFRDA has started using PAN instead of Aadhaar for validation of new customers
for online opening of account under the National Pension System (NPS) scheme.
The subscriber having an account with Internet banking facility with any of the 6
participating banks can open his NPS account online.
Participating Banks - State Bank of Patiala, Oriental Bank of Commerce, United Bank of
India, South Indian Bank and Syndicate Bank.
4. Recently, Reserve Bank of India has signed a Memorandum of Understanding (MoU)
on Supervisory Cooperation and Exchange of Supervisory Information with Financial
Authority of which country?
A. United Mexican States
B. United Arab Emirates
C. United States of America
D. United Kingdom
Answer - D. United Kingdom
Explanation - The Reserve Bank of India signed separate Memorandum of Understanding (MoUs)
on Supervisory Cooperation and Exchange of Supervisory Information with Prudential Regulation
Authority (PRA) and Financial Conduct Authority (FCA) of United Kingdom.
With this agreement, RBI has entered into MoUs for Supervisory Cooperation with 33
countries to promote greater cooperation and share supervisory information.
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5. To overcome the hassles of generating one time password (OTP) over SMS while
transacting, which bank has launched country's first "display variant" debit card?
A. Canara Bank
B. Axis Bank
C. HDFC Bank
D. Yes Bank
Answer - B. Axis Bank
Explanation - Mumbai headquartered Axis Bank has launched a "display variant" debit card for
high-value NRE (Non-Resident External) customers which does away with the hassles of
generating one time password (OTP) over SMS while transacting.
The card has an embedded EMV chip, a display screen and a touch-sensitive button which
helps generating the OTP on the card itself.
6. Metals and Minerals Trading Corporation of India (MMTC) has announced its tie up
with which of the following banks to strengthen its marketing network?
A. ICICI & Axis
B. HDFC & SBI
C. Axis & HDFC
D. SBI & ICICI
Answer - D.SBI & ICICI
Explanation - As a part of a part of gold monetisation programme, Delhi headquarter MMTC has
announced its tie up with SBI, ICICI Bank and India Post to strengthen marketing network for
selling Indian Gold coins.
MMTC also announced to tie up with Punjab Small Industries and Exports Corporation
(PSIEC) for retailing the gold coins through "Phulkari Emporium" in Punjab.
Currently, MMTC is retailing 'Indian Gold' coins through 22 outlets.
Keys - Coins are minted by the Security Printing and Minting Corporation of India Limited
(SPMCIL) and hallmarked by the Bureau of Indian Standards (BIS).
7. According to the revised priority sector lending norms, Regional Rural Banks (RRBs)
have to increase how much % of their total outstanding towards agricultural
activities?
A.12%
B.18%
C.15%
D.16%
Answer - B.18%
Explanation - RBI has revised the revised the priority sector lending target for regional rural
banks (RRBs) to 75% of total outstanding loans from 60% earlier w.e.f January 2016.
In this regard, medium enterprises, social infrastructure and renewable energy should
constitute 15% of total outstanding while agriculture has a cap of 18% of total outstanding.
Significant revisions:
Limit on loans to individual farmers increased to Rs. 50 lakh against pledge/ hypothecation
of agricultural produce for a period not exceeding 12 months.
In the case of housing loans, loans to individual increased to Rs 25 lakh for purchase or
construction of a dwelling unit per family provided the overall cost of the dwelling unit
should not exceed 25 lakh.
8. Which country was emerged as the top source of foreign direct investment (FDI) into
India during April-September 2015?
A. France
B. Malaysia
C. Singapore
D. Mauritius
Answer - C. Singapore
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Explanation - According to data from the Department of Industrial Policy and Promotion (DIPP),
Singapore has replaced Mauritius as the top source of foreign direct investment (FDI) into India
during April-September 2015.
India has attracted Rs 43,096 crore FDI from Singapore while Rs 23,490 crore from
Mauritius.
Keys Singapore
Currency - Singapore dollar
Prime minister - Lee Hsien Loong
President - Tony Tan
9. Reserve Bank of India has cancelled the Certificate of Registration (COR) of 56 nonbanking financial companies (NBFCs) under which act?
A. Reserve Bank of India Act, 2006
B. Reserve Bank of India Act, 1948
C. Reserve Bank of India Act, 1997
D. Reserve Bank of India Act, 1934
Answer - D. Reserve Bank Act, 1934
Explanation - The Reserve Bank has cancelled registration certificates of 56 NBFCs following
which the companies would not be able to transact business as a non-banking financial institution.
Out of these NBFCs, 16 are based out of Kolkata; 14 are Mumbai-based, 3 belong to
Chennai and while 1 is based out of New Delhi.
These companies cannot transact in the business of NBFC as laid down under the Reserve
Bank of India Act, 1934.
10.
Which bank had launched missed call service for account holders in Chennai
during flood calamity to recharge their mobile?
A. Canara Bank
B. Axis Bank
C. Yes Bank
D. Federal Bank
Answer - D. Federal Bank
Explanation - Kochi headquarter Federal Bank had launched missed call service for account
holders in Chennai to recharge their mobile.
For availing the service, account holder had to do a one-time registration from his
registered mobile number by sending the SMS to 9895088888.
Once registered, the beneficiary has to just make a missed call from his mobile number to
8431700700, and their phone will be recharged immediately and the amount debited to
the account-holders bank account.
11.
Which bank has selected TCS BaNCS for core banking to deliver a differentiated
customer experience?
A. IDBI
B. Canara
C. IDFC
D. Bandhan
Answer - C. IDFC
Explanation - Infrastructure Development Finance Company (IDFC) Bank has selected TCS
BaNCS for core banking, a move that will enable it to offer next generation banking services that
are more personalised, convenient and faster.
12.
Yangon Stock Exchange (YSX) has been inaugurated in which country?
A. Mexico
B. Maldives
C. Malaysia
D. Myanmar
Answer - D. Myanmar
Explanation - Myanmar has launched a new Yangon Stock Exchange (YSX) with $24 million
investment, which has approved the listing of 6 companies.
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The companies are First Myanmar Investment Company, First Private Bank Limited, Great
Hor Kham Public, Myanmar Agribusiness Public Corporation, Myanmar Citizens Bank and
Myanmar Thilawa SEZ Holdings Public.
YSX was founded by the state-owned Myanmar Economic Bank, Daiwa Securities and Japan
Exchange Group, a company that operates the Tokyo Stock Exchange.
13.
Which country has become the 10th country to ratify AoA (Articles of Agreement)
for AIIB?
A. Russia
B. Luxembourg
C. Germany
D. India
Answer - B. Luxembourg
Explanation - Luxembourg became the 10th country to ratify the Articles of Agreement (AoA)
that will lay the legal framework for the China-initiated Asian Infrastructure Investment Bank
(AIIB).
So far, Australia, Austria, Brunei Darussalam, China, Mongolia, Nepal, New Zealand,
Singapore and United Kingdom ratified the 60-article agreement.
14.
Which of the following country has become the new member of Asian
Infrastructure Investment Bank (AIIB)?
A. Russia
B. Germany
C. New Zealand
D. India
Answer - C. New Zealand
Explanation - New Zealand was the 9th country to formally become a member of the Asian
Infrastructure Investment Bank (AIIB). Its ratification would contribute to the AIIB reaching the
50-percent threshold of the needed for the AIIB to establish operations.
15.
FIRST Initiative in collaboration with which of the following has launched a tool
to help governments implement public credit guarantee schemes (CGS)?
A.ADB
B.AIIM
C.IMF
D.WB
Answer - D.WB
Explanation - World Bank Group and the FIRST Initiative announced the launch of a new tool to
help governments implement public credit guarantee schemes (CGS) aimed to unlock finance for
small and medium enterprises (SMEs).
CGS was launched in 2008 with an aim of making it easier for financial institutions to
borrow money. The scheme was closed in 2012.
16.
World Bank has consented how much worth of loan for the "clean India
campaign"?
A. $5.5bn
B. $2.5bn
C. $3.5bn
D. $1.5bn
Answer - D. $1.5bn
Explanation - World Bank has accorded $1.5bn of loan for the clean India campaign to support
the government in its efforts to ensure all citizens in rural areas have access to improved
sanitation by 2019.
17.
RBI is liable to disclose information about the banks and FIs for their actions
against loan defaulter under which of the following act?
A. Companies Act, 2013
B. Right to Information Act, 2005
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C. Indian Civil Rights Act, 1968
D. Reserve Bank of India Act, 1934
Answer - B. Right to Information Act, 2005
Explanation - As per the Supreme Court ruling, The Reserve Bank of India and commercial banks
cannot hide routine information, such as the names of top defaulters, the losses suffered by banks
and details of action taken against erring banks, sought by the public under the Right to
Information Act.
18.
India Index Services & Products Ltd (IISL) has launched three new corporate
group Indices. Which of the following is not included in the Indices?
A. Nifty Ambani Group Index
B. Nifty Aditya Birla Group Index
C. Nifty Mahindra Group Index
D. Nifty Tata Group Index
Answer - A. Nifty Ambani Group Index
Explanation - India Index Services & Products Ltd (IISL), an arm of National Stock Exchange
(NSE), today launched three indices to track performances of group companies belonging to Tata
Group, Aditya Birla Group and Mahindra Group.
Nifty Tata Group Index consists of 25 companies across 12 sectors with market
capitalisation of Rs. 7.51 lakh crore.
Nifty Aditya Birla Group Index includes eight companies across seven sectors with market
Nifty Mahindra Group index is composed of seven companies across six sectors with market
19.
Reserve Bank of India's guidelines for new Marginal Cost of Funds Methodology to
calculate base rate will come into effect from which date?
A. July 1, 2016
B. October 1, 2016
C. April 1, 2016
D. March 1, 2016
Answer - C. April 1, 2016
Explanation - RBI announced a new Marginal Cost of Funds Methodology to calculate base rate
to improve transparency in the methodology followed by banks for determining interest rates on
advances. The guidelines come into effect from April 1, 2016.
20.
Which of the following bank has ties up with SBI Life Insurance Company to
provide Group Life Insurance coverage to its housing loan borrowers?
A. Canara bank
B. Andhra Bank
C. Yes Bank
D. Dena Bank
Answer - D. Dena Bank
Explanation - Mumbai headquartered Dena bank has tied up with SBI Life Insurance Company in
order to provide Group Life Insurance coverage to its housing loan borrowers under the "Dena
Grihaswami Suraksha" at a very low premium.
21.
RBI launches quarterly "Inflation Expectations Survey of Households" for
December 2015 by capturing subjective assessments of 6 cities. Which city was not
included in the survey?
A. Mumbai
B. Jaipur
C. Kolkata
D. Bengaluru
Answer - B. Jaipur
Explanation - RBI, has launched the quarterly "Inflation Expectations Survey of Households" for
December 2015 which captured subjective assessments of around 5,400 respondents across six
metropolitan cities Bengaluru, Chennai, Hyderabad, Kolkata, Mumbai and New Delhi.
36 | P a g e

22.
According to the mid-term economic review tabled in Parliament, what is the
Indias GDP growth for the current financial year?
A.7.2-8%
B.6.5-7%
C.8.1-8.5%
D.7-7.5%
Answer - D.7-7.5%
Explanation - According to the mid-term economic review tabled in Parliament, the countrys
economic situation is satisfactory and the economy has shown remarkable stability. The review
has cut the growth forecast for the current financial year to 7-7.5% from earlier estimate of 88.5%.
23.
Centre for International Development (CID) at Harvard University has forecasted
how much India's growth rate projection?
A.6.8%
B.7.5%
C.7%
D.7.3%
Answer - C.7%
Explanation - The Centre for International Development (CID) at Harvard University has
forecasted that India has the potential to be the worlds fastest growing economy gushing ahead
of its South Asian economic rival China. India has topped the global list with the growth rate
projection at 7%.
24.
What will be the deadline for resolving complaints by Banking Ombudsman under
Banking Ombudsman Scheme, 2006?
A.30 days
B.25 days
C.15 days
D.No limit
Answer - D.No limit
Explanation - There is no time limit for resolution of complaints under Banking Ombudsman
scheme 2006, aimed at seeking redressal of customers common complaints against banks.
25.
What is the minimum limit required for base sum assured for the recently
launched Reliance Lifelong Savings Plan by Reliance Life Insurance Company
(RLIC)?
A.Rs. 70,000
B.Rs. 1, 00,000
C.Rs. 12,000
D.Rs. 80,000
Answer - D.Rs. 80,000
Explanation - Reliance Life Insurance Company (RLIC), part of Reliance Capital Limited launched
a Reliance Lifelong Savings Plan aimed to offer goal based saving and protection to policy
holders and their family.
Plan Criteria:
The age of entry starts from 7 years till 55 years for policy terms of 15 years to 30 years.
Premium starts at 12,000 per annum.
Minimum base sum assured is 80,000.
26.
RBI has extended the deadline for exchanging pre-2005 currency notes of various
denominations to which date?
A. April 30
B. July 30
C. March 30
D. June 30
Answer - D. June 30
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Explanation - Reserve Bank today extended the deadline for exchanging pre-2005 currency
notes of various denominations, including Rs 500 and Rs 1,000, by another six months to June
30, 2016.
27.
By the end of second quarter that ended September 2015, Indias current account
deficit (CAD) has been narrowed to how much % of GDP?
A.2%
B.1.8%
C.2.3%
D.1.6%
Answer - D.1.6%
Explanation - The current account deficit (CAD) narrowed to 1.6% of GDP at USD 8.2 billion in
the second quarter ended September. The contraction in CAD was primarily on account of lower
trade deficit (USD 37.4 billion) as compared with USD 39.7 billion in Q2 of last year.
28.
China-backed Asian Infrastructure Investment Bank (AIIB) headquarter is
situated at which place?
A. Shenzhen
B. Guangzhou
C. Beijing
D. Shanghai
Answer - C. Beijing
Explanation - China-backed Asian Infrastructure Investment Bank (AIIB) in which India is a
founder member along with other 56 countries was formally established in Beijing. It has an
authorised capital of USD 100 billion and subscribed capital of USD 50 billion.
29.
Which of the following IT major has launched first of its kind Tap N Pay
contactless digital payment wallet MoboMoney?
A. TCS
B. Accenture
C. Tech Mahindra
D. Infosys
Answer - C. Tech Mahindra
Explanation - Tech Mahindra has launched first of its kind Tap N Pay contactless digital
payment wallet MoboMoney for the Indian masses. MoboMoney has been billed as Indias first
commercial NFC ecosystem rollout that would allow consumers to convert cash into e-cash for
making payments.
30.
FCI has raised Rs 30,000 crore as a short-term loan from a consortium of how
many banks to meet working capital requirements?
A.12
B.27
C.15
D.20
Answer - C.15
Explanation - FCI, nodal agency for procurement and distribution of foodgrains has raised Rs
30,000 crore as a short-term loan from 15 consortiums of banks including SBI and PNB to meet
working capital requirements.
Maximum amount of Rs 10,000 crore has been raised from PNB, followed by Rs 7,000 crore
from SBI.
31.
Small Industries Development Bank of India (SIDBI) has cleared how much worth
from Fund-of-Funds to Support venture capital funds in India?
A. $114 million
B. $104 million
C. $124 million
D. $140 million
Answer - D. $140 million
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Explanation - Small Industries Development Bank of India (SIDBI) has cleared $140 million (Rs
930 crore) from the $302 million (Rs 2,000 crore) fund-of-funds to support venture capital funds.
24 venture capital funds for an aggregate commitment of Rs 930 crore have been cleared
in principle by the venture capital investment committee (VCIC) so far.
32.
Which of the following has initiated the Payment System Innovation Awards?
A.IMF
B.RBI
C.TCS
D.SEBI
Answer - B.RBI
Explanation - In order to encourage innovators in India in the area of Payment and Settlement
System, the Reserve Bank of India has announced Payment System Innovation Awards. It
would be organised by the Institute for Development and Research in Banking Technology
(IDRBT), a wholly owned subsidiary of the Reserve Bank.
33.
Which state has topped the charts in terms of general insurance premium
collection and penetration?
A. Gujarat
B. Karnataka
C. Tamil Nadu
D. Maharashtra
Answer D. Maharashtra
Explanation - Maharashtra (Rs 19,336 crore) and Tamil Nadu (Rs 8,238 crore) have retained
their top two positions in terms of general insurance premium collection and penetration.
Insurance penetration, measured as a percentage of premiums to a countrys gross domestic
product (GDP).
34.
Which of the following bank has tied up with railways e-ticketing platform IRCTC
to sell rail tickets through its website?
A. Yes Bank
B.DCB Bank
C.ICICI Bank
D. Axis Bank
Answer - C.ICICI Bank
Explanation - Mumbai headquartered ICICI Bank tied up with railways e-ticketing platform
IRCTC to sell rail tickets through its website and will soon introduce the facility to book rail tickets
on its mobile banking application and prepaid digital wallet.
35.
After Snapdeal which e-commerce company has started to sell cars and
motorcycles online?
A. Amazon
B. Flipkart
C. Myntra
D. ShopClues
Answer - B. Flipkart
Explanation - Flipkart has started to sell cars and motorcycles online to offer a higher range of
products to customers and retain them within the platform.
It has been signed with two local dealers - KhivrajMotors for Bajaj motorcycles & Kalyani
Motors for Maruti Suzuki cars.
36.
Which bank has announced the mobilisation of USD 5 billion towards its
commitment to climate finance in India?
A. ICICI Bank
B. Yes Bank
C. Axis Bank
D. HDFC Bank
39 | P a g e

Explanation - Maharashtra headquartered Yes Bank has announced mobilisation of USD 5 billion
towards its commitment to climate finance in India.
It is aimed at to limit the rise in global temperatures to less than 2 degree Celsius through
a common agreement.
Target: Funding 500 MW clean energy annually.
37.
RBI had released a report on Medium-term Path on Financial Inclusion. The 14member committee on Medium-term Path was headed by which of the following?
A.LK Jha
B.GS Dahotre
C.H R Khan
D.Deepak Mohanty
Answer - D.Deepak Mohanty
Explanation - 14-member committee headed by RBI Executive Director Deepak Mohanty has
submitted the report on Medium-term Path on Financial Inclusion.
It was constituted in July 2015 by RBI with the objective of working out a medium-term (5
years) measurable action plan for financial inclusion.
38.
Cabinet Committee on Economic Affairs (CCEA) approved the Amended
Technology Upgradation Fund Scheme (ATUFS) for which Industry?
A. Cement Industry
B. Steel Industry
C. Textiles industry
D. Chemical Industry
Answer - C. Textiles industry
Explanation - Cabinet Committee on Economic Affairs (CCEA) approved the Amended
Technology Upgradation Fund Scheme (ATUFS) replacing the Revised Restructured Technology
Upgradation Fund Scheme (RR-TUFS).
It is aimed to help the industry upgrade operational technology and provides fixed
subsidies to entrepreneurs.
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