Banking and Financial Awareness for IBPS Exams

Q1. The central banking functions in India are performed by the………..?
1. Central Bank of India
2. Reserve Bank of India
3. State Bank of India
4. Punjab National Bank
(a) 1, 2 and 3
(b) 2
(c) 1
(d) 2 and 4
(e) None of the above

About Course:

"Did you Know? In this pack you will get All new content we launch in the next 1 months"

This is the most recommended and NRA-CET ready Pack!
Use Code 'DREAM' to avail at the best price today

This package Includes IBPS PO Study Material -  Subscribe Now

About Bank Mahapack
If you are preparing for more than 1 Banking & Insurance exams then this is the pack we recommend you buy.

It is most cost-effective and you get access to 100% digital content for Bank & Insurance exams on Adda247.

Banking & Insurance Exams Covered in this Pack

Additionally, you can crack any private bank job exam with content in this pack.


Bank & Insurance Mahapack Highlights 

  • Structured course content
  • Recorded classes available if you miss any live class
  • Previous Years’ Papers of all upcoming exams.
  • Full Length Mocks based on the latest pattern with detailed solutions (video solutions for certain topics)
  • Topic level knowledge tests
  • Strategy sessions, time management & Preparation tips from the experts


Validity: 1 Month

Bank Maha Pack
  1. Unlimited Live Classes & Recorded Video Courses
  2. Unlimited Tests and eBooks
  3. 1 Lakh+ Selections
  1. 15 Months
  2. 27 Months
  3. 9 Months
  4. 3 Months
  5. 1 Month
6799 453/month
Q2. If the cash reserve ratio is lowered by the RBI, its impact on credit creation will be to
(a) increase it
(b) decrease it
(c) no impact 
(d) constant
(e) None of the above
Q3. RBI has reduce by one percentage point the Statutory Liquidity Ratio required to be maintained by banks to 23%. In what form is this stipulation reacquired to be fulfilled?
(a) Banks are required to keep the amountin approved government securities of the appropriate value
(b) The amount to be maintained in cash and securities with RBI
(c) The required amount is to be maintained in gold with RBI
(d) All of the above
(e) None of the above
Q4. The financial year for banks is April-March, but what is the financial year for RBI?
(a) January – December
(b) April – March
(c) July – June
(d) October – September
(e) June-May

Q5. Which of the following rates/ratios is not covered under the RBI monetary and credit policy?
(a) Bank rate
(b) Exchange rate of foreign currencies
(c) Repo rate
(d) Reverse repo rate
(e) Cash reserve ratio
Q6. Proposals for setting up of new banks are under active consideration. Which organisation gives the permission?
(a) RBI
(b) Indian Banks Association
(c) Finance Ministry
(d) Cabinet Committee on Economic Affairs
(e) None of the above
Q7. Which of the following rates is decided by the market conditions and not by RBI?
(a) Bank rate 
(b) SLR
(c) CRR 
(d) Inflation rate
(e) None of the above
Q8. An average citizen cannot open a Savings account in which of the following?
(a) Commercial bank
(b) Post office
(c) Co-operative bank
(d) RBI
(e) None of the above
Q9. As per the existing policy, the Cash Reserve Ratio (CRR) of scheduled banks is fixed at a certain percentage of their NDTL. What is full form of NDTL?
(a) New Demand and Tenure Liabilities
(b) Net Demand and Time Liabilities
(c) National Deposits and Total Liquidity
(d) Net Duration and Total Liquidity
(e) New Deposits and Term Liquidity
Q10. Which of the following rates signals the RBI’s long-term outlook on interest rates?
(a) Repo rate
(b) Reverse repo rate
(c) Bank rate
(d) SLR
(e) CRR
Q11. Which of the following organisation release World Economic Outlook report?
(a) World Bank 
(b) IMF
(c) UNDP
(d) WTO
(e) None of the above
Q12. ICRA, CRISIL and Standard and Poor’s (S&P) are?
(a) Credit rating agencies
(b) NGOs
(c) Financial Institutions 
(d) NBFCs
(e) None of the above
Q13. The Nippon Ginko is the Central Bank of?
(a) South Korea 
(b) Japan
(c) China
(d) Taiwan
(e) None of the above 
Q14. “Primary Deficit”refers to?
(a) Fiscal Deficit minus Interest Payments
(b) Budget Deficit minus Interest Payments 
(c) Monetary Deficit minus Interest Payments 
(d) Deficit Financing by 91 day ad hoc treasury bills 
(e) None of the above
Q15. Open market operations are mainly used as ______?
(a) A fiscal device which assists Government borrowing 
(b) A monetary measure to regulate quantity of money in circulation and the cash reserves of the commercial banks
(c) A measure to counteract extreme trends in business    
(d) A measure to influence the balance of payments position 
(e) None of the above

Hello BA’ins, please share your SBI PO, GD and PI experience at