Banking Quiz for NABARD/SBI/IBPS

1. The first Indian bank to open a branch outside India in London in 1946?
a) SBI
b) PNB
c) BOB
d) BOI

2. What is ‘Net Interest Margin’ of a Bank?
a) Margin of Interest earned on Trading in Govt Securities
b) Difference between the Base Interest Rate and the Average Lending Rate
c) Difference between the interest income and the amount of interest paid out
d) Difference between Interest on Term Loans and Interest on Cash Credits
3. The government has allowed issue of Long-Term Bonds for Insurance Companies and others upto? 
a) 10 years
b) 15 years 
c) 25 years
d) 30 years

4. Which of the following Committee recommended a separate Act, for Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act? 
a) Rangarajan Committee  
b) T.R. Andhyarajuna Committee
c) Narashimham Committee 
d) Nayak Committee
5. 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 
6. Export Credit Packing Advance sanctioned to SSI exporters are covered under the credit guarantee scheme of ______?
c) DRI 
d) GIC 
7. The advantages of securitization for a Bank is? 
a) It provides liquidity to the issuing Bank 
b) The Bank capital does not get blocked 
c) Securitisation proceeds can be used for fresh lending
d) All of the above
8. A Bank may prefer to invest in corporate Bonds because? 
a) Bond is more liquid Asset 
b) Bond has an easy exit 
c) Bond can be sold at discount 
d) All of the above
9.  Example of the product line of a Bank is? 
a) Car loan 
b) Personal loan 
C) Home loan
d) Above all
10. First share market in India was established in? 
a) Delhi 
b) Kolkata   
c) Mumbai
d) Chennai