BANKING, FINANCE AND ECONOMY

Q.1. Explain the following and their current position-

a) Bank rate 8.75%
b) CRR- 4%
c) SLR- 23%
d) CAR- Current Asset Ratio
e) PLR- Prime interest rate 11.00%-12.00%
f) SDR- Special Drawing Rights
g) Repo rate- 7.75%
Q.2. Why benchmark PLR is in news recently?
Q.3. How much benchmark PLR of this bank is?
Q.4. what were the reason of nationalization of banks?
Ans- Before nationalisation of banks most of the banks emerged and failed in
their goals, even most banks were evolved with their motives of only profit
making and not supporting the development process; this was conflicts with
the nations goals. Lending processes of commercial banks were discourages
the small sector industries and export promotions. Expansion of the banking
sector was limited to strategic business centers like New Delhi, Mumbai and
Bangalore. That's why nationalisation done in 1969 by Indira Gandhi (prime
minister)

Q.5. what were the recommendation of Narsimhan committee?
Q.6. Narsimhan committee is related to which field?
Q.7. what is weak bank, narrow banking, local area bank and
lead bank?
Q.8. what is merchant banking and universal banking?
Q.9. what is the difference between bank and financial
institutions?


Q.10. what is the difference between SBI and nationalized
bank?
Q.11. Is SBI nationalized bank? If not then why?
Q.12. Who is the chairman of this bank?
Q.13. what are the main reason to introduce RRBs?
Q.14. what is scheduled bank?
Q.15. what are basel 2 Norms?
Q.16. what is tier 1, 2, 3 capitals?
Q.17 what do you known about M1, M2, M3, M4 and L1, L2,
L3?
Q.18. what are the principles of issuing notes?
Q.19. what is the difference between monetary and fiscal
policy?
Q.20. what are the main feature of current monetary policy?
Q.21. Who is the governor of RBI?
Q.22. what are the feature of RBI?
Q.23. How bank creates credits?
Q.24. what is credit control policy of RBI?
Q.25. what is open market operation?
Q.26. what is a bank and what are the function of a bank?
Q.27. what is branch banking?
Q.28. what is unit banking?
Q.29. what is the difference between group banking and chain
banking?
Q.30. In which stste there is no RRBs?


Q.31. Where is the Head office of RBI?
Q .32 what is the difference between the One rupee note and
Two rupee note?
Q.33. How Banks are helpful in development of an industry?
Q.34. How many public sector Banks are there in India?
Q.35. what is Banking Ombudsmen scheme?
Q.36. what where the reasons for nationalizing the Banks in
India?
Q.37. is there any possibility of nationalizing some more Banks?
If yes then why and if not then why?
Q.38. How many types of Cheque are there in Banks?
Q.39. If a party makes payment to you with two potations
either Cheque or Draft, and then which would you
Prefer and why?
Q.40. what is the difference between a crossed Cheque and an
account payee Cheque?
Q.41. Which Cheque works just as a current note?
Q.42. what will you do in case a Cheque is lost by you?
Q.43. what is clearing house?
Q.44. How is new Cheque different from old Cheque?
Q.45. Band currency throws out of circulation good currency
what do you understand by this Statement?
Q.46. what is Deflation, Disinflation, Stagflation, Mind Inflation,
and Galloping Inflation?
Q.47. How can inflation be controlled?
Q.48. what are the causes of inflation?
Q.49. what is difference between black money and black
income?


Q.50. What are parallel and underground economy?
Q.51. what are the causes of the creation of black money? How
can we control it?
Q.52. what is devaluation of currency?
Q.53. what do you know about finance commission of India?
Q.54. what is the difference between bonds and shares?
Q.55. Distinguish between money market and capital market?
Q.56. Which/Who has controlling authority of money market?
Q.57. Which/Who has controlling authority of capital market?
Q.58. what is near money, Dear money, cheap money, Hot
money?
Q.59. Define stock exchange? Why it is necessary in a capitalist
economy?
Q.60. How is business transacted in a stock exchange?
Q.61. what is mutual fund?
Q.62. what is velocity of money?
Q.63. If RBI increase bank rate or CRR, does it effect economy?
If yes then how?
Q.64. what is inflationary GAP?
Q.65. what are the main objectives of monetory policy?
Q.66. what is NPA?
Q.67. How can you reduce NPAs?
Q.68. Difference between Gross NPAs and net NPAs?
Q.69. what are the new norms for NPA?
Q.70. what is the highest officer of RBI?
Q.71. what is Indian currency?
Q.72. why the banks like to open their branches in towns and
cities specially private banks, while the real wealth of the
country is in the villages?


Q.73. If we appoint you in our rural branch, would you like to
live in a village?
Q.74. At this time you are giving your acceptance, but as soon
as you are posted in a rural branch of the bank, you would
make efforts for your transfer to a city branch isnt it?
Q.75. what are the source of a bank through which it obtains its
funds for operation?
Q.76. In this era of competition with private players, what will
be the future of public sector bank after 10 years?
Q.77. Is there any need of RRBs in India?
Q.78. Why a bank issue IPO?
Q.79. what is supply of money?
Q.80. Recently hoe many bank issued IPO?
Q.81. Main features of 10
th
five year plan?
Q.82. Who is the head of planning commission?
Q.83. who is the head of national development council?
Q.84. Who is the head of finance commission?
Q.85. what is vote on account?
Q.86. Tell me about main features of the budget?
Q.87. How is current economic position of India?
Q.88. what are the Singapore issues?
Q89. Tell me about FOREX and its present condition?
Q.90. what is rupee appreciation?
Q.91. Banking scenario of last 10 years?
Q.92. what is VRS scheme?
Q.93. Raising forex is beneficial to India or not?
Q.94. Important events in last one year in banking and
economic sector?
Q.95. what is SEBI?


Q.96. what is IRDA & PERDA?
Q.97. what do you know about credit rating agencies in India?
Q.98. How is working culture in private banks and how it is
different from public sector banks?
Q99. What is fiat money?
Q.100. Define call money market?
Q.101. what is the difference between credit and debit card?
Q.102. How ATM works?
Q.103. what is digital signature?
Q.104. what is e-banking concept?
Q.105. Is the privatization of banking correct?
Q.106. what is easy money?
Q.107. what is balance budget?
Q.108. what is Grashms law?
Q.109. what is disguised unemployment?
Q.110. what is duopoly
Q.111. what is effective demand?
Q.112. what is the current inflation position irr india?
Q.113. How the poverty is analysed in india?
Q.114. Where the head quarter of IMF is situated?
Q.115. what is consolidated and contingency fund of India?
Q.116. what is financial year of RBI?
Q.117. Explain the present condition of balance of payment and
balance of trade?
Q.118. what is bull and bear?
Q.119. what is free trade concept?
Q.120. what is the difference between saving and current
deposit?
Q.121. when was RBI established?


Q.122. what is NABARD? Tell us about its functions and where
it has its head office?
Q.123. what is the special features of new exim policy?
Q.124. what has been the economic growth target set by 10
th

five year plan?
Q.125. Being a branch manager of a bank how would you
improve the day to day work and service of that branch?
Q.126. which steps would you take to prevent forgery/looting
in your branch?
Q.127. what is subsidy?
Q.128. what is overdraft facility?
Q.129. what is priority sector lending?
Q.130. what is CAMELS rating in banks?
Q.131. what is RIDF?
Q.132. what are the challenges before banking sector in
present time?
Q.133. what is the future of banking sector?
Q.134. Tell us five major export items of India?
Q.135. what is mobile banking?
Q.136. Tell us five major import items of India?
Q.137. How can we reduce NPAs?
Q.138. Two major problems of bank at present? How would
you handle them?
Q.139. what is the purpose of service?
Q.140. what is the single window system in a bank?