Banking Awareness Questions for RBI Assistant and IBPS Clerk Mains 2017

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Banking Awareness Questions for RBI Assistant and IBPS Clerk Mains 2017
Banking Awareness for IBPS Exam 2017

Just a few days are left for IBPS Clerk Mains. It is time to pace up your preparation of Banking Awareness for IBPS SO and Clerk Mains. These questions related to Banking Awareness will also help you in preparing for other upcoming banking recruitment examination.

Q1. ___________ to provide guaranteed clearing and settlement functions for transactions in Money, G-Secs, Foreign Exchange and Derivative markets.
(a) NPCI
(b) SEBI
(c) GOI
(d) RBI
(e) CCIL

S1. Ans.(e)
Sol. The Clearing Corporation of India Ltd. (CCIL) was set up in April, 2001 to provide guaranteed clearing and settlement functions for transactions in Money, G-Secs, Foreign Exchange and Derivative markets. The introduction of guaranteed clearing and settlement led to significant improvement in the market efficiency, transparency, liquidity and risk management/measurement practices in these market along with added benefits like reduced settlement and operational risk, savings on settlement costs, etc. 

Q2. _________ will be authorised operational entities, adhering to the standards for facilitating bill payments online as well as through a network of agents, on the ground.
(a) BBPCU
(b) BBPOU
(c) Biller Payment
(d) Creditor
(e) Assets and Liabilities

S2. Ans.(b)
Sol. Bharat Bill Payment Operating Units (BBPOUs) will be authorised operational entities, adhering to the standards set by the BBPCU for facilitating bill payments online as well as through a network of agents, on the ground.

Q3. ___________ a/an electronic trading platform, operated by the Reserve Bank of India, used to facilitate the exchange of government securities and other money market instruments. 
(a) Delivery versus Payment (DvP)
(b) Negotiated Dealing System (NDS)
(c) Risk Mitigation
(d) Competition Commission of India (CCI)
(e) None of the given options is true

S3. Ans.(b)
Sol. Till 2002, the Government securities market was mainly a telephone market. Buyers and sellers traded over telephone and submitted physical Subsidiary General Ledger (SGL) transfer forms for transfer of the Government securities and cheques for settlement of the funds to the Reserve Bank of India. These manual operations were inefficient and often resulted in delays. In order to improve efficiency in the market, the Reserve Bank of India took steps to automate the process of trading and settlement of Government securities transactions and the Negotiated Dealing System (NDS) was introduced in February 2002.

Q4. The Clearing Corporation of India Ltd. (CCIL) was set up in-
(a) December 2010
(b) February 1995
(c) September 2006
(d) April 2001
(e) March 1999

S4. Ans.(d)
Sol. The Clearing Corporation of India Ltd. (CCIL) was set up in April, 2001 to provide guaranteed clearing and settlement functions for transactions in Money, G-Secs, Foreign Exchange and Derivative markets.

Q5. Which of the following is the mode of settlement of securities where in the transfer of securities and funds happen simultaneously?
(a) Delivery versus Payment (DvP)
(b) Negotiated Dealing System
(c) Clearing Corporation of India Ltd. (CCIL)
(d) All of the Above
(e) None of the given options is true

S5. Ans.(a)
Sol. Delivery versus Payment (DvP) is the mode of settlement of securities where in the transfer of securities and funds happen simultaneously. This ensures that unless the funds are paid, the securities are not delivered and vice versa. DvP settlement eliminates the settlement risk in transactions.

Q6. Which among the following banks has launched a Multi-currency Forex Card for overseas travelers recently?
(a) South Indian Bank
(b) ICICI Bank
(c) Kotak Mahindra Bank
(d) Standard Chartered Bank
(e) Yes Bank

S6. Ans.(d)
Sol. Standard Chartered Bank has launched a Multi-currency Forex Card for overseas travelers. The card will allow customers the convenience of loading up to 20 widely used currencies on one card with an online reload facility during overseas travel.

Q7. SIDBI has started full-fledged merchant banking operations to benefit the expanding number of growth-oriented MSMEs, especially those with a strong technology and innovation quotient. What is the meaning of "D" in SIDBI?
(a) Development
(b) Department
(c) District
(d) Doing
(e) None of the given options is true

S7. Ans.(a)
Sol. Small Industries Development Bank of India (SIDBI) has started full-fledged merchant banking operations to benefit the expanding number of growth-oriented micro, small and medium enterprises (MSMEs), especially those with a strong technology and innovation quotient.

Q8. Aurionpro Solutions a global leader in digital innovation, enterprise security and banking solutions, announced its Branch-in-a-Box product, the VTM a fully integrated self-service kiosk for automating 90% of banking transactions at the branch level. VTM stands for-
(a) Virtual Truncated Machine 
(b) Vehicle Teller Machine 
(c) Virtual Timer Machine 
(d) Virtual Teller Management 
(e) Virtual Teller Machine

S8. Ans.(e)
Sol. Aurionpro Solutions a global leader in digital innovation, enterprise security and banking solutions, announced its Branch-in-a-Box product, the Virtual Teller Machine (VTM) a fully integrated self-service kiosk for automating 90% of banking transactions at the branch level.

Q9. Reserve Bank of India (RBI) has set up Supervisory Colleges for six Scheduled Commercial Banks which have sizeable international presence recently. Which among the following Banks is not them?
(a) State Bank of India
(b) ICICI Bank Limited
(c) Indian Overseas Bank
(d) Bank of Baroda
(e) Axis Bank Limited

S9. Ans.(c)
Sol. Reserve Bank of India (RBI) has set up Supervisory Colleges for six Scheduled Commercial Banks which have sizeable international presence: - State Bank of India, ICICI Bank Ltd., Bank of India, Bank of Baroda, Axis Bank Ltd. and Punjab National Bank.

Q10. Which Bank and Bajaj Allianz General Insurance have signed an agreement for the distribution of insurance products through the branches?
(a) Axis Bank
(b) Punjab National Bank
(c) Indian Bank
(d) Bank of Baroda
(e) ICICI Bank

S10. Ans.(b)
Sol. Punjab National Bank (PNB) and Bajaj Allianz General Insurance have signed an agreement for the distribution of insurance products through the branches.

Q11. Which among the following sectors contributes most to the saving in India?
(a) Banking and financial sector
(b) Private corporate sector
(c) Export sector
(d) Household sector
(e) None of the given options is true

S11. Ans.(d)
Sol. Household contributes most to the saving in India.

Q12. The EXIM bank of India was established in-
(a) 1964
(b) 1970
(c) 1982
(d) 1984
(e) 1992

S12. Ans.(c)
Sol. Established by the Government of India, EXIM Bank has commenced operations in 1982 under the Export-Import Bank of India Act, 1981 as a purveyor of export credit, mirroring global Export Credit Agencies.

Q13. In Banking terminology, NPA means-
(a) Non-Promise Account
(b) Non-Personal Account
(c) Non-Performing Asset
(d) Net-performing Asset
(e) Non-Performing Agency

S13. Ans.(c)
Sol. NPA stands for Non-Performing Asset.

Q14. Which of the following schemes has been launched for providing health services in rural areas?
(a) Operation Flood
(b) Look East
(c) SJSRY
(d) ASHA
(e) MGNREGA

S14. Ans.(d)
Sol. The ASHA or the Accredited Social Health Activist. ASHA will be the first port of call for any health related demands to access health services. ASHA will be a health activist in the community who will create awareness on health and its social determinants and mobilize the community towards local health planning and increased utilization and accountability of the existing health services in Rural areas.

Q15. Which of the following is NOT a banking related term?
(a) Radiation
(b) Outstanding Amount
(c) Explicit Guarantee
(d) Benchmark Prime Lending Rate
(e) None of the given options is true

S15. Ans.(a)
Sol. In physics, radiation is the emission or transmission of energy in the form of waves or particles through space or through a material medium.



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