Reserve Bank Of India Quiz

1. Consider the following statements:

  • Statement-I: The Reserve Bank of India regulates the maximum ATM transaction fees that banks can charge customers.
  • Statement-II: ATM transaction fees are entirely determined by market competition without any regulatory oversight.

Which one of the following is correct in respect of the above statements?

[A] Both Statement-I and Statement-II are correct and Statement-II explains Statement-I
[B] Both Statement-I and Statement-II are correct, but Statement-II does not explain Statement-I
[C] Statement-I is correct, but Statement-II is incorrect
[D] Statement-I is incorrect, but Statement-II is correct

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2. Consider the following in regard to cryptocurrency regulation in India:

  1. Cryptocurrencies are recognized as legal tender by the Reserve Bank of India.
  2. The Cryptocurrency and Regulation of Official Digital Currency Bill, 2021 was passed by Parliament.
  3. Cryptocurrency transactions in India are taxed under the Income Tax Act.

Which of the above statements is / are correct?

[A] 3 only
[B] 1 and 2 only
[C] 1 and 3 only
[D] 1, 2 and 3

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3. With reference to small finance banks in India, consider the following statements:

  1. AU Small Finance Bank is the first small finance bank in India.
  2. Small finance banks primarily focus on providing financial inclusion to underserved sections of society.
  3. Small finance banks can accept deposits and provide loans, but cannot issue credit cards.
  4. The Reserve Bank of India regulates small finance banks under the Banking Regulation Act, 1949.

How many of the above statements is/are correct?

[A] Only one
[B] Only two
[C] All four
[D] None

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4. In the context of foreign investment regulations, consider the following statements:

  1. The Reserve Bank of India (RBI) plans to increase the foreign investment cap in listed firms from 5% to 10% for individual foreign investors.
  2. Foreign portfolio investors (FPIs) can currently hold up to 24% in Indian listed companies.
  3. Non-resident Indians (NRIs) are excluded from the new proposed regulations on foreign investment limits.

How many of the above statements is/are correct?

[A] Only one
[B] Only two
[C] All three
[D] None

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5. Regarding the concept of government borrowing and securities, consider the following statements:

  1. Government securities can have maturities ranging from 3 to 50 years.
  2. Sovereign green bonds are exclusively used for funding education projects.
  3. The Reserve Bank of India sets the Ways and Means Advances limit for government accounts.

How many of the above statements is/are correct?

[A] Only one
[B] Only two
[C] All three
[D] None

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6. With reference to the Reserve Bank of India (RBI) and its guidelines, which of the following observations is/are correct?

  1. The RBI was established in 1935 to respond to the economic troubles after the Great Depression.
  2. The RBI is the sole issuer of currency notes in India, except for one-rupee notes and coins, which are issued by the Government of India.

Select the correct option from the codes given below:

[A] Only 1
[B] Only 2
[C] Both 1 & 2
[D] Neither 1 nor 2

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7. Regarding the Reserve Bank of India’s revised guidelines for Priority Sector Lending, consider the following statements:

  1. The maximum loan limit for housing loans in areas with a population above 50 lakh is Rs 50 lakh.
  2. Loans for renewable energy projects are capped at Rs 10 lakh per borrower for individual households.
  3. Urban cooperative banks must target 40% of their Adjusted Net Bank Credit towards priority sectors.

How many of the above statements are correct?

[A] Only one
[B] Only two
[C] All three
[D] None

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8. In the context of banking regulations, consider the following statements:

  1. Basel III is a global regulatory framework for banks aimed at strengthening bank capital requirements.
  2. Reserve Bank of India (RBI) is responsible for implementing Basel III in India.
  3. Liquidity Coverage Ratio (LCR) under Basel III ensures banks have enough liquid assets to cover short-term obligations.

How many of the above statements are correct?

[A] Only one
[B] Only two
[C] All three
[D] None

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9. With reference to the RBI’s digital initiatives, Sarthi and Pravaah, consider the following statements:

  1. Pravaah digitises internal workflows at RBI while Sarthi focuses on external regulatory applications.
  2. Recently, the Reserve Bank of India (RBI) received the Digital Transformation Award from Central Banking in London.

Which of the Statements given above is/are correct?

[A] Only 1
[B] Only 2
[C] Both 1 & 2
[D] Neither 1 nor 2

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10. With reference to the RBI’s digital initiatives, Sarthi and Pravaah, consider the following statements:

  1. Pravaah digitises internal workflows at RBI while Sarthi focuses on external regulatory applications.
  2. Recently, the Reserve Bank of India (RBI) received the Digital Transformation Award from Central Banking in London.

Which of the Statements given above is/are correct?

[A] Only 1
[B] Only 2
[C] Both 1 & 2
[D] Neither 1 nor 2

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