Banking Awareness Practice MCQs

1. The Banking Ombudsman–  
(A) is in charge of bank loans for buses (B) fixes the rates of interest for loans (C) resolves complaints of customers 
(D) issues licences for new bank branches (E) is the head of all nationalised banks 

2. Which of the following is NOT classified as a commercial bank?  
(A) Public sector bank (B) Foreign bank (C) Private sector bank 
(D) Regional rural bank (E) Urban cooperative bank 

3. Which of the following is not the name of a Banking Organisation?  
(A) HDFC (B) IDBI (C) YES 
(D) SEBI (E) ICICI 

4. Monetary Policy as an arm of the economic policy is administered by–  
(A) Government of India (B) Reserve Bank of India (C) State Bank of India 
(D) Governments of the respective states (E) None of these 

5. Which of the following is not a primary function of a Bank?  
(A) Granting Loans (B) Collecting Cheques/Drafts customers (C) Facilitating import of goods 
(D) Issuing Bank Drafts (E) Selling Gold/Silver Coins 

6. Reserves which can act as a liquidity buffer for commercial banks during crisis times are–  
(A) CAR (B) CRR (C) CAR and CRR 
(D) CRR and SLR (E) SLR 

7. For repayment of loan availed from Banks NBFC we come across a term known as EMI What does it stand for?  
(A) Equated Money Index (B) Easy Money Installment (C) Equated Monthly Installment 
(D) Equal Monthly Installment (E) Equal Minimum Installment 

8. Many a times we read in the news paper about CASA deposits of banks. CASA deposits are.  
(A) Demand deposits (B) Term deposits (C) Hybrid deposits 
(D) Recurring deposits (E) Special schemes of banks 

9. While investing in mutual funds we come across a term called NAV. What is the meaning of NAV?  
(A) Net Annual Value (B) Non Asset Value (C) Net Actual Value 
(D) Net Asset Value (E) Net Average Value 

10. Assume that Reserve Bank of India reduces the Bank Rate by 1%, what will be its impact?  
(A) Less liquidity in the market (B) More liquidity in the market 
(C) No change in the liquidity in the market (D) Mobilization of more deposits by commercial-banks 
(E) None of these 

11. Whose signature is found on a 50 rupee currency note in India?
(A) President of India (B) Governor, RBI (C) Finance Minister 
(D) Prime Minister of India (E) Secretary, Ministry of Finance 

12. Which of the following institutions is involved mainly in granting Housing Loans?  
(A) RBI (B) SBI (C) IBA 
(D) ICICI (E) HDFC 

13. Which of the following terms is not related to banking?  
(A) Repayment (B) Loan (C) NPA 
(D) Fasting (E) Deposit 

14. Almost all banks in our country have introduced facility for granting crop loans to farmers.  
(A) Term Loans (B) Kisan Credit Cards (C) Bank Guarantee 
(D) Foreign Exchange (E) Reverse Mortgage 

15. Many times we read the term ‘ECB’ in newspapers. What is the full form of ‘ECB’ ?  
(A) Essential Commercial Banking (B) European Credit Borrowing (C) External Credit For Business 
(D) External Commercial Borrowing (E) None of these 

16. Which of the following is a Private Sector Bank in India?  
(A) Corporation Bank (B) Kotak Mahindra Bank (C) IDBI Bank 
(D) Syndicate Bank (E) Oriental Bank of Commerce 

17. A bank branch receives a counterfeit note of Rs. 100 from the customer, which customer wants it back. Which of the following action should be taken by the Bank?  
(A) Will return to customer (B) Will impound and not return 
(C) Will ask for exchange of note (D) Will replace with genuine note 
(E) Will check all the notes in possession with the customer which are not being deposited also 

18. Which of the following is not a mode of foreign capital inflow in India?  
(A) FDI (B) NRI deposits (C) FII 
(D) No frills accounts (E) None of these 

19. In India, which of the following have the highest share in the disbursement of credit to agriculture and allied activities?  
(A) Commercial Banks (B) Cooperative Banks (C) Private sector Banks 
(D) Microfinance Institutions (E) Regional Rural Banks 

20. Which of the following banks was not nationalized in 1969 ?  
(A) Punjab National Bank (B) Bank of India (C) State Bank of India 
(D) Bank of Baroda (E) Bank of Maharashtra 

21. Which of the following is NOT a bank or finance company?  
(A) ABN Amro (B) HSBC (C) Lufthansa 
(D) BNP Paribas (E) Barclays 

22. What is the maximum permissible limit for investment in PDF account in a financial year?  
(A) Rs. 1 lakh (B) Rs. 70,000 (C) Rs. 50,000 
(D) Rs. 60,000 (E) There is no limit 

23. In our country, a cheque remains valid for payment for from the date of issue.  
(A) 3 months (B) 6 months (C) 9 months 
(D) 12 months (E) 18 months 

24. The Govt. of India has acquired RBI’s stake in one of the major banks of India. Which of the following is the bank?  
(A) AXIS Bank (B) IDBI Bank (C) ICICI Bank 
(D) State Bank of India (E) None of these 

25. Credit Cards are known as.  
(A) Hard money (B) Easy money (C) Soft money 
(D) Plastic money (E) Real money 

26. On domestic term deposits, banks in our country generally offer additional rate of interest on term deposits from.  
(A) Minors (B) Married women (C) Govt. employees 
(D) Rural residents (E) Senior citizens 

27. Which of the following instruments cannot be transferred from one person to another by endorsement? 
(A) Fixed Deposit Receipt (B) Cheque (C) Bill of Exchange 
(D) Promissory Note (E) None of these 

28. ‘Crossing’ applies to which of the following instruments?  
(A) Cheques (B) Bills (C) Promissory Notes 
(D) Hundies (E) Fixed Deposit receipts 

29. Which of the following assets can be mortgaged?  
(A) Stock (B) Book Debts (C) National Savings Certificates 
(D) Shares (E) Land and Building 

30. Among the banks in our country, which of the following is not a foreign bank?  
(A) HSBC (B) Standard Chartered Bank (C) BNP Paribas 
(D) Citi Bank Na (E) Ing Vysya Bank 

ANSWERS : 
1. (C) 2. (E) 3. (D) 4. (B) 5. (C) 6. (E) 7. (C) 8. (A) 9. (D) 10. (B) 
11. (B) 12. (E) 13. (D) 14. (B) 15. (D) 16. (B) 17. (B) 18. (D) 19. (D) 20. (C) 
21. (C) 22. (B) 23. (A) 24. (D) 25. (D) 26. (E) 27. (A) 28. (A) 29. (E) 30. (E) 

Banking Awareness Practice Questions

1. Which of the following is foreign bank having offices/branches in India?  
(A) Yes Bank (B) HDFC Bank (C) IDBI Bank 
(D) Karnataka Bank (E) Standard Chartered Bank 

2. Basel-II norms are associated with which of the following aspects of the banking industry?  
(A) Risk management (B) Manpower planning (C) Retirement benefits for the employees 
(D) Corporate Governance (E) None of the above 

3. Which of the following is NOT a banking/finance related term?  
(A) Credit wrap (B) EMI (C) Held to Maturity 
(D) Exposure limit (E) Diffusion 

4. The approach of ‘Micro-Credit’ or ‘Banking with the poor’ is comparatively a new concept in the field of rural credit. This approach has been tried very successfully in which of the following countries?  
(A) Bangladesh (B) India (C) China 
(D) Japan (E) None of these 

5. The lowering of Bank Rate by the Reserve Bank of India leads to–  
(A) More liquidity in the market (B) Less liquidity in the market 
(C) No change in the liquidity in the market (D) Mobilization of more deposits by commercial banks 

6. What is the full form of ‘ULIP’, the term which was in the news recently? 
(A) Universal Life and Investment Plan (B) Unit loan and Insurance Plan 
(C) Universal Loan and Investment Plan (D) Uniformly Loaded Investment Plan 
(E) Unit Linked Insurance Plan

7. Which of the following is not a part of the scheduled banking structure in India? 
(A) Moneylenders (B) Public Sector Banks (C) Private Sector Banks 
(D) Regional Rural Banks (E) State Co-operative Banks 

8. The rate of interest on Savings Bank Account is stipulated by– 
(A) The concerned bank (B) RBI (C) Indian Banks Association 
(D) Government of India (E) Banking Codes and Standards Board of India 

9. Many times we read a term, CBS used in banking operation. What is the full form of the letter ‘C in the term ‘CBS’ ? 
(A) Core (B) Credit (C) Continuous 
(D) Complete (E) None of these 

10. Many a time we read a term ‘PPP’ in financial dailies/magazines. What is the full form of the same as used in financial world? 
(A) Public Per Capita Power (B) Per Capita Potential Purchases (C) Purchasing Power Parity 
(D) Present Purchasing Power (E) None of these 

11. In India, the interest rate on savings accounts in all the nationalized commercial banks is fixed by–  
(A) Union Ministry of Finance (B) Union Finance Commission 
(C) Indian Banks’ Association (D) None of the above 

12. Fiscal policy in India is formulated by–  
(A) the Reserve Bank of India (B) the Planning Commission 
(C) the Finance Ministry (D) the Securities and Exchange Board of India 

13. Many times we read about SHGs in financial newspapers. What is the full form of the term?  
(A) Small Help Groups (B) Self Help Groups (C) Small Hope in Crowns 
(D) Self Hope Groups (E) None of these 

14. Which of the following agencies/organizations in India maintains the Micro. Finance Development and Equity Fund ?  
(A) Confederation of Industries in India (CII) (B) Indian Bank’s Association (IBA), 
(C) Small Industries Development Bank of India (SIDBI) (D) Reserve Bank of India (RBI) 
(E) National Bank for Agriculture and Rural Development (NABARD) 

15. Many times we read about ‘Hawala’ transactions in newspapers. Hawala in India is prohibited under the provision of which of the following Acts?  
(A) Fiscal Responsibility and Budget Management Act (B) Banking Regulation Act 
(C) Financial Action Task Force Act (D) Foreign Exchange Management Act 
(E) None of these 

16. Which of the following terms is NOT used in Economics? 
(A) Balance of Payment (B) Call Money (C) National Debt 
(D) Elasticity of Demand (E) Boyle’s Law 

17. What is the full form of ‘NBFC’ as used in the Financial Sector?  
(A) New Banking Finance Company (B) National Banking and Finance Corporation 
(C) New Business Finance and Credit (D) Non Business Fund Company 
(E) None of the above 

18. A major Public Sector Bank raised interest rates on loans by 25 basis points - was news in some major financial newspapers recently. This means bank has raised interest by 25 basis points of.  
(A) Savings Bank Interest Rate (B) Base Lending Rate (C) Repo Rates 
(D) Present Rates on Deposits (E) Discounted Rates of Interest 

19. What does the letter ‘L’ denote in term ‘LAF’ as referred every now and then in relation to monetary policy of the RBI?  
(A) Liquidity (B) Liability (C) Leveraged 
(D) Longitudinal (E) Linear 

20. Banks and other financial institutions in India are required to maintain a certain amount of liquid assets like cash, precious metals and other short term securities as a reserve all the time. In Banking World this is knows as.  
(A) CRR (B) Fixed Asset (C) SLR 
(D) PLR (E) None of these 

21. If PAN details are not provided, the TDS is deducted at which of the following rates? 
(A) 10% (B) 20% (C) 10% for senior citizens and 20% for others 
(D) 10% plus 10% surcharge (E) None of these 

22. Lending to Micro Finance Institutions by Bank considered as finance to–  
(A) Non Priority Sector (B) Priority Sector (C) Commercial Sector 
(D) Agriculture Sector (E) None of these 

23. Maximum FDI in Private Banks in India is allowed up to the limit of–  
(A) 25% (B) 51% (C) 49% 
(D) 70% (E) None of these 

24. Which one of the following will setup sore banking infrastructure for rural banks?  
(A) RBI (B) NABARD (C) SIDBI 
(D) IBA (E) None of these 

25. The letter ‘F’ denotes which of the following in the term IFRS.  
(A) Formative (B) Formal (C) Functional 
(D) Fiscal (E) Financial 

26. Which of the following terms is used in the field of banking ?  
(A) Accounts (B) Entropy (C) Plank’s Law 
(D) Plasma (E) Viscosity 

27. Which one among the following is not an institution of Indian Money Market?  
(A) Reserve Bank of India (B) Bill Brokers 
(C) Merchant Bankers (D) Non-Banking Financial Intermediaries 

28. Which one of the following is not a function of the central bank in an economy?  
(A) Dealing with foreign exchange (B) Controlling monetary policy 
(C) Controlling government spending (D) Acting as a banker’s bank

ANSWER : 
1. (E) 2. (A) 3. (E) 4. (A) 5. (A) 6. (E) 7. (A) 8. (B) 9. (A) 10. (C) 
11. (D) 12. (C) 13. (B) 14. (E) 15. (D) 16. (E) 17. (E) 18. (B) 19. (A) 20. (C) 
21. (B) 22. (B) 23. (E) 24. (B) 25. (E) 26. (A) 27. (B) 28. (C) 

Headquarters of Nationalised & Public Sectors Bank in India

1. SBI ----Mumbai
2. State Bank of Bikaner and Jaipur -- Jaipur
3. State Bank of Travancore -- Thiruvananthapuram
4. State Bank of Mysore ---- Bangalore
5. State Bank of Patiala ---- Patiala
6. State Bank of Hyderabad --- Hyderabad
7. Union Bank of India ----- Mumbai
8. Bank of India ----- Mumbai
9. Central Bank of India ----- Mumbai
10. Dena Bank ------ Mumbai
11. IDBI Bank ----- Mumbai
12. Allahabad Bank ----- Kolkata
13. UCO Bank ----- Kolkata
14. United Bank of India ----- Kolkata
15. Punjab National Bank ----- New Delhi
16. Oriental Bank of Commerce ---- New Delhi
17. Punjab and Sind Bank --- New Delhi
18. Bhartiya Mahila Bank --- New Delhi
19. Canara Bank --- Bangalore
20. Vijaya Bank --- Bangalore
21. Indian Bank --- Chennai
22. Indian Overseas Bank--- Chennai
23. Bank of Baroda --- Vadodara
24. Syndicate Bank ---- Manipal(Karnataka)
25. Corporation Bank --- Mangalore
26. Andhra Bank --- Hyderabad
27. Bank of Maharashtra --- Pune

Note: 
i.There are a total of 27 PSBs in India [21 Nationalised banks + 6 State bank group (SBI + 5 associates) ]
ii. At present there are 23 Private Banks functioning in India
iii. At present there are 56 RRBs (Regional Rural Banks ) functioning in India.
iv. At present there are 41 Foreign Banks functioning in India

Banks and Their Tag Lines

1. SBI - With you all the way, Pure Banking Nothing Else, The Nation’s banks on us
2. State Bank of Hyderabad – You can always bank on us.
3. State Bank of Mysore - Working for a better tomorrow
4. State Bank of Patiala – Blending Modernity with Tradition
5. State Bank of Travancore - A long Tradition of Trust
6. Allahabad Bank - A Tradition of Trust
7. Andhra Bank – Where India Banks
8. Bank of Baroda - India’s International Bank
9. Bank of India - Relationship beyond banking
10. Bhartiya Mahila Bank – Empowering Women
11. Bank of Maharashtra - One family one bank
12. Canara Bank – Together We Can
13. Central Bank of India – “Central To you Since 1911”
14. Corporation Bank – A Premier Public Sector Bank
15. Dena Bank - Trusted Family Bank
16. ECGC Bank – You focus on exports. We cover the risks
17. IDBI Bank – Banking For All, “Aao Sochein Bada”
18. Indian Bank – Your Tech- Friendly Bank
19. Indian Overseas Bank – Good people to grow with
20. Punjab National Bank - The name you can bank upon
21. Punjab & Sind Bank – Where service is a way of life
22. Oriental Bank of Commerce – Where every individual is committed
23. UCO Bank – Honours Your Trust
24. Union Bank of India – Good People to Bank with
25. United Bank of India – The Bank that begins with “U”
26. Vijaya Bank - A friend you can bank on
27. Axis Bank – Badhti Ka naam Zindagi
28. ICICI Bank – Hum Hai Na, Khyal Apka
29. HDFC Bank - We understand your world indeed
30. Yes Bank – Experience our Expertise
31. HSBC - The world’s local bank  

General Awareness Questions for SBI PO 2014 Exam

1.    Recently “Ship of Theseus' named the best film in National Film Awards. Who among the following is the director of the film?

(1) Saurabh Shukla                                               
(2) Anand Gandhi

(3)  Aida El-Kashef                                               
(4)  Hansal Mehta

(5) None of the above

2.    Recently Book “Crusader or Conspirator? Coalgate and other Truths” is in news. Who among the following is the author of the book?

(1) Sanjay Baru                             
(2) Rajiv Pillai

(3) PC Parekh                               
(4) Yashwant Sinha

(5) Pullock Chatterjee

3.    According to RBI Guidelines, what fractions of the branches are mandatory to opened in rural areas by newly licensed banks?

(1) 15                                 (2) 25

(3) 35                                 (4) 45

(5) None of these

4.    Lee Kun-hee, who is facing an arrest warrant in a 4.1million dollar cheating case is chairman of ____?

(1) Nokia                           (2) Samsung

(3) LG                                (4) IBM

(5) None of these

5.    Consider the following statements with respect to the recently granted banking license by the Reserve Bank of India?

(A) RBI grant banking license to infrastructure financier IDFC Ltd and micro lender Bandhan Financial Services Ltd to start new banks.

(B) This approval will be valid for 18 months, during which the two companies will have to comply with rules stipulated by RBI.

(C) Chandra Shekhar Ghosh is the Chairman of IDFC Ltd and Rajiv B Lall is the Chairman of Bandhan Financial Services Ltd

Which of the above statements is/are correct in this context?

 (1) Only A  & B                                          
(2) Only B & C

(3) Only A & C                                         
(4) All the above

(5) None of these

6.    Recently who among the following has been appointed as the new Finance Secretary?

(1) Sumit Bose                              
(2) Vijay Seshadri

(3) Arvind Mayaram                     
(4) V.K. Murthy

(5) None of these

7.    Vijay Seshadri wins the 2014 Pulitzer Prize for his work ____?

(1) 2 states                                               
(2) The Goldfinch, 

(3) 3 Sections                                
(4) 11 Attacks

(5) None of these

8.    Which of the following countries  was formally accepted as a new member by the World Trade Organisation (WTO) in a ministerial conference held in Bali recently?

(1) Uganda                                
(2) Yemen                   
(3) Romania

(4) South Sudan                
(5) None of these 

9.    Examine the following with respect to Exchange Earner’s Foreign Currency Account (EEFC):

(A) It is a facility provided to the foreign exchange earner (individual or company)

(B) The account holders are entitled to get only 50 percent of their foreign exchange earnings  credited to the account

(C) It can be held only in the form of a current with no interest payable ion it

Which of the above statements is/are correct?

(1) All the above                
(2) Only A

(3) Only B                         
(4) Only A & C
(5) Only B & C

10.  A bank draft can be issued by a bank accepting cash provided the amount does not exceed?

(1) Rs 25,000                    
(2) Rs 50,000

(3) Rs 75,000                    
(4) Rs 10,000

(5) None of these

11.  Banks have strict regulations to protect themselves as well as their customers and if these regulations are violated, banks levy penalty on the violator. Which one of the following will not be considered a bad money practice?

(1) Frequent ATM pin request

(2) Not updating change in personal and residential details

(3) Using Non-bank ATM machines more frequently

(4) Withdrawing over the minimum balance limit

(5) All the above

12.  Consider the following with respect to the much talked about health insurance cover, Obamacare, which came into effect recently in the US.

(A) Under the scheme, it is now compulsory for the people who have health cover

(B) Those who cannot afford the cover will get help from the state

(C) Those who remain without any insurance will be fined

Which of the above statements is true?

(1) Only A                         
(2) Only B

(3) Only C                         
(4) Only A & B
(5) All A, B & C

ANSWERS:

1. 2, 2. 3, 3. 2, 4. 2, 5. 1, 6. 3, 7. 3, 8. 2, 9. 4, 10. 2, 11. 5, 12. 5

National Judicial Appointments Commission (NJAC) Act, 2014

Union Government has brought into force the National Judicial Appointments Commission (NJAC) Act, 2014 along with the 99th Constitutional Amendment Act, 2014. In this regard, notification to effect from 13 April 2015 was issued by the Union Law Ministry. With this new law the collegium system to appoint members to the higher judiciary has come to an end. Now President will appoint judges in the Supreme Court (SC) and 24 High Courts (HCs) in consultation with the NJAC. 

Facts about NJAC Act, 2014 
Composition of NJAC 
As per Article 124A, NJAC is a 6 member constitutional body. Consisting of Chairman- Chief Justice of India (CJI). Members- Two senior most Judges of the Supreme Court, the Union Minister of Law and Justice and two eminent persons. Two eminent persons will be nominated by committee led by Prime Minister of India, the CJI, and the Leader of the Opposition in the House of the People. 

As per 124B, functions of NJAC are 
Recommend persons for appointment as CJI, Judges of SC, Chief Justices and other Judges of High Courts. Recommend transfer of Chief Justices and other Judges HCs from one HC to another HC. 

About Collegium system 
Previously, under the collegium system, five top judges of the Supreme court recommended transfer and elevation of judges to Supreme Court and High Courts. It came into existence in 1993 after a Supreme Court judgement.

India elected to four United Nations agencies

India was elected to four important United Nations (UN) agencies on 8 April 2015. These agencies are United Nations Children’s Fund (UNICEF), World Food Program (WFP), Commission on Crime Prevention and Criminal Justice (CCPCJ) and the Governing Council of UN-Habitat.

India was elected to these bodies at the Coordination and Management Meeting (CMM) of UNECOSOC (the United Nations Economic and Social Council) held at the UN headquarters in New York, USA.

India was elected by acclamation, which is a form of election that doesn’t use a ballot.

Results of Elections
• India, along with thirteen other nations, was elected to the Executive Board of the United Nations Children’s Fund (UNICEF) for a three year period starting from January 2016.
• India was re-elected to the Executive Board of the World Food Programme (WFP) along with five other nations for a two year period starting from January 2016. 
• India was elected to the Commission on Crime Prevention and Criminal Justice (CCPCJ) along with nineteen other nations for a three year period starting from January 2016. Some of the nations that were elected to CCPCJ included Iran, Pakistan, Saudi Arabia Austria, France, Sweden and the United States.
• India was re-elected to the Governing Council of the United Nations Human Settlements Programme (UN-Habitat) along with thirteen other nations for a three year period starting from January 2016.

Significance of India’s election to UN bodies

• India has a 100 percent record of winning the UNECOSOC elections. For instance, in the first week of April 2015, India was re-elected to the 47-nation UN Human Rights Council for the period of 2015-17. In October 2014, India was re-elected to ECOSOC by garnering the maximum number of votes in the Asia-Pacific group. 
• These continuous wins at various UN bodies highlights the fact that India’s role as an important and influential global power is now recognised by a vast majority of the UN membership.

PM launches first Indian Air Quality Index (AQI)

The government has unveiled the National Air Quality Index (AQI) that will give real time data regarding the level of pollutants in the air. It will inform people on the impact of air pollution on their health.

Initially, 10 cities will be covered by the index. These cities include Delhi, Agra, Kanpur, Lucknow, Varanasi, Faridabad, Ahmedabad, Chennai, Bangalore and Hyderabad. Each of These cities will have a monitoring station with Air Quality Index displayed on the board.

Different studies have found high level of air pollution in India. The environmental preference index placed India at 174th position out of 178 countries for air quality last year. A study conducted by WHO has found 13 of the most polluted 20 cities in the world present in India.

The Air Quality Index is the global standard that is used to determine the quality of air. Multiple data that is already available with the country’s Central Pollution Control Board is considered and is presented on a color coded scale having six levels by it.

Dark green is the first level, which indicates good quality air where as maroon indicates severe pollution. The index identifies health impacts associated with each category.

The index gives current and 24-hour average data on particulate matter – PM2.5 and PM 10 along with other pollutants like nitrogen dioxide, ozone and carbon monoxide.

New CEC named by President

Dr Nasim Zaidi has been named as the next Chief Election Commissioner (CEC) by President Pranab Mukherjee. He will succeed H.S.Brahma, who is the current CEC.

He is a 1976 batch officer of UP cadre and has retired in July 2012 as Secretary to the Union Government in Ministry of Civil Aviation. He had also hold the position of the Director General of Civil Aviation (DGCA).

Bad performance for India on Social Progress Index (SPI)

India has been ranked at 101th place out of 133 countries on the Social Progress Index (SPI) in which Norway is placed at 1st position and U.S at 16th position. India s performance is very poor in the Index as even its neighbours such as Nepal and Bangladesh have secured better ranks. India s ranking is poor than it per capita GDP ranking, which is 93.

The index ranked all these countries on different indicators of wellness including health, water and sanitation, personal safety, access to opportunity, tolerance, inclusion, personal freedom and choice.

MUDRA Bank becomes reality

MUDRA Bank announced in the union budget this year has finally become a reality. It was launched by PM Modi on Wednesday. It will be functioning as a regulator for Micro-Finance Institutions and will serve as a credit provider to small entrepreneurs. The initial corpus is Rs. 20,000 crore.

MUDRA will play the role of laying down policy guidelines for the business of micro enterprise financing and registering MFI entities along with their rating and accreditation.

MUDRA Bank will be enumerating "responsible financing practices", whose will eliminate over indebtedness while ensuring proper principles of client protection and recovery methods.

It will also work to develop standards to govern last mile lending to micro enterprises.

The initial products and schemes of MUDRA will be known as  Shishu ,  Kishor  and  Tarun  signifying the level of development and need of funding for the beneficiary micro unit.

Delhi Government launched India’s first e-ration card Service

Delhi Government on 27 March 2015 launched India’s first e-ration card service. The service was launched by the Chief Minister of Delhi Arvind Kejriwal.

In this service, E-ration card will be linked with Aadhaar cards and it would enable the beneficiaries of Public Distribution System (PDS) to get the cards online from the government’s web portal without hassles.

The new service is expected to curb corruption and increase transparency in the system.

The service would cut down the delays in preparation of ration card and would ensure the fast delivery to the beneficiaries.

As soon as an application for providing food security is approved by the Food Supply Officer concerned, a message will go to the cellphone number of the beneficiary informing him or her about approval of application and ration card.

ISRO won Gandhi Peace Prize 2014

Indian Space Research Organisation (ISRO) on 27 March 2015 won Gandhi Peace Prize 2014. The award was selected by the jury under the chairmanship of the Prime Minister Narendra Modi.

Besides Prime Minister, other members of the Jury that selected the ISRO for the award were Justice H L Dattu, Chief Justice of India; Mallikarjun Kharge, leader of the single largest Opposition Party in the Lok Sabha; LK Advani, Member of Parliament and Gopalkrishna Gandhi.

The Indian space agency successfully launched Mars Orbiter Mission (MOM) and at a very cost effective price of 450 crore rupees.

The launch makes India the first Asian country to enter the Martian sphere of influence.

ISRO became the fourth space agency after National Aeronautics and Space Administration (NASA) of the US, Russian Federal Space Agency (RFSA) and European Space Agency to have undertaken a mission to Mars.

Besides launching various research and communication satellites, the space agency through its cutting-edge technologies contributes to the nation's development through satellite based education, health care and connectivity to community activities for sustainable economic development.

About the Award

The Gandhi Peace Prize for social, economic and political transformation through non-violence was instituted in the year 1995 on the occasion of the 125th birth anniversary of Mahatma Gandhi.

It is given to individual or organisation for making social, economic and political transformation through non-violence means.

The award comprises an amount of one crore rupees and a citation.

Nobel Laureate John Nash won Abel Prize 2015 for work on partial differential equations

Nobel Laureate John F Nash Jr. won the Abel Prize 2015 for his work on partial differential equations. The prize was announced on 25 March 2015 by the Norwegian Academy of Sciences and Letters. They will receive the Abel Prize from His Majesty King Harald at a ceremony in Oslo on 19 May 2015.

He will share the Prize with Louis Nirenberg, Professor Emeritus at New York University's Courant Institute of Mathematical Sciences. They both will share the prize money of 760000 US dollar.

Nash and Nirenberg won the prize for striking and seminal contributions to the theory of nonlinear partial differential equations and its applications to geometric analysis. Partial differential equations are important in both pure math and describing natural phenomena.

John Nash is a senior research mathematician at Princeton University. He won the Nobel Prize for Economics in 1994 for his work in game theory as dramatized in the 2001 film A Beautiful Mind in which he was portrayed by actor Russell Crowe.

About the Abel Prize

The Abel Prize is an international prize presented annually by the King of Norway to one or more outstanding mathematicians. The prize was named after Norwegian mathematician Niels Henrik Abel.

The award was established in 2001 by the Government of Norway and complements the Holberg Prize in the humanities.

The Abel Prize has often been described as the mathematician's Nobel Prize, competing in that respect with the much older Fields Medal. It comes with a monetary award of 6 million Norwegian kroner (NOK).

In 2014, it was won by Yakov G Sinai, Professor at Princeton University and Landau Institute for Theoretical Physics, Russian Academy of Sciences.

The first Abel Prize was won by Jean-Pierre Serre, Professor at Collège de France, Paris in 2003.

62nd National Film Awards Winners 2015

The 62nd National Film Awards were announced in a press conference in New Delhi on 24 March, 2015 . The conference was addressed by Jury Chairpersons Shri Bharathiraja and Shri Kamal Swaroop.

 List of winners:

• Best Feature Film: Court (Marathi, Hindi, Gujarati and English)
• Best Popular Film for Providing Wholesome Entertainment: Mary Kom
• Indira Gandhi Award for Best Debut Film of a Director: Asha for Jaoar Majhe
• Special Jury Award: Khwada (Marathi)
• Best Direction: Srijit Mukherji for Chotushkone (Bengali)
• Best Actress: Kangana Ranaut for Queen
• Best Actor: Vijay for Nanu Avanalla Avalu (Kannada)
• Best Supporting Actor: Bobby Simhaa for Jigarthanda (Tamil)
• Best Supporting Actress: Baljinder Kaur for Pagdi The Honour (Haryanavi)
• Best Child Actor: Kaakkaa Muttai(Tamil)
• Best Female Playback Singer: Uttara Unnikrishanan for Azhagu, Saivam (Tamil)
• Best Costume Designer: Haider (Hindi) Dolly Ahluwalia
• Best Make-up Artist: Nangaraju and Raju for Nanu Avanalla Avalu (Kannada)
• Best Cinematography: Chotushkone (Bengali)
• Best Editing: Vivek Harshan for Jigarthanda (Tamil)
• Best Production Design: Aparna Raina for Nachom - IA Kumpasar (Konkani)
• Best Screenplay Writer (Original): Srijit Mukherji for Chotushkone (Bengali)
• Best Screenplay Writer (Adapted): Joshy Mangalath for Ottal (Malayalam)
• Best Dialogues: Vishal Bhardwaj for Haider
• Best Lyrics: NA. Muthukumar for Azhagu, Saivam (Tamil)
• Best Music Direction Songs: Haider
• Best Music Direction Background Score: Nineteen Eighty Three (Malayalam)
• Best Audiography - Location Sound Recordist: Mahaveer Sabbanwal for Khwada (Marathi)
• Best Audiography - Sound Designer: Anish John for Asha Jaoar Majhe (Bengali)
• Best Audiography - Re-recordist of the final mixed track: Anirban Sengupta and Dipankar Chaki for Nirbashito (Bengali)
• Best Choreography: Sudesh Bismil, Haider
• Best Assamese Film: Othello
• Best Bengali Film: Nirbashito
• Best Hindi Film: Queen
• Best Rabha Film: Orong
• Best Haryanvi Film: Pagdi The Honour
• Best Punjabi Film: Punjab 1984
• Best Tamil Film: Kuttram Kadithal
• Best Telugu Film: Chandamama Kathalu
• Best Malayalam Film: Ain
• Best Marathi Film: Killa
• Best Odiya Film: Aadim Vichar
• Best Kannada Film: Harivu
• Best Konkani Film: Nachom - IA Kumpasar
• Special Mention: Killa (Marathi), Bhootnath Returns (Hindi), Ain (Malayalam), Nachom - IA Kumpasar (Konkani)
• Best Film on Environment Consevation/Preservation: Ottaal (Malayalam)
• Best Educational Film: Komal and Behind the Glass Wall
• Best Exploration/ Adventure Film: Life Force - India's Western Ghats
• Best Investigative Film: Phum Shang 
• Best Animation Film: Sound of Joy
• Best Short Fiction Film: Mitraa
• Best Film on Social Issues: Chotoder Chobi
• Best Children's Film: Kaakkaa Muttai (Tamil) and Elizabeth Ekadashi (Marathi)
• Best Film Critic: Tanul Thakur
• Best Book on Cinema: Silent Cinema: (1895-1930) 

GENERAL AWARENESS PRACTICE MCQs FOR ALL BANK EXAMS

1. Banks obtain photograph at the time of opening of the account with a view to:
a) Avoid benami accounts
b) Verify the identity of the customer
c) Verify with police records
d) a & b
e) a to c

2. Banks are required to submit CTR (Cash Transaction Report) to ___ within ___ of succeeding month.
a) FIU, 30 days
b) FIU, 15 days
c) FIU, 7 days
d) RBI, 7 days
e) RBI, 15 days

3. Premium payable on deposit insurance on every Rs.100 per annum is
a) 10 paise
b) 5 paise
c) 25 paise
d) 50 paise
e) None

4. Which of the following can’t be a nominee?
a) Illiterate Person
b) Minor
c) NRI
d) HUF
e) None

5. In case of dishonor of cheques on financial grounds, the holder is required to issue notice to the drawer
within ___ days to claim remedy under section 138 of NI Act
a) 7 Days
b) 30 Days
c) One Year
d) Three Years
e) None

6. National Payment Corporation of India (NPCI) has set up payment network to enable the member
banks to issue Domestic Payment Cards with a brand ___
a) Visa Card
b) Master Card
c) Prepaid Card
d) RuPay
e) Travel Card

7. Permanent Account Number (PAN) is mandatory for
a) Bank transactions (cash) of Rs. 50000/- & above
b) Purchase and sale of shares/ debentures/bonds of Rs. 50000/- & above
c) Purchase and sale of immovable property where the value of the property is Rs. 5 lakh & above
d) a & c
e) All

8. High Debt Service Coverage Ratio (DSCR) indicates
a) Unable to meet the installment obligations
b) Able to meet payment of installments comfortably
c) Liquidity problem
d) a & c
e) None

9. Which of the following statement is not true with regard to Capital Gains Deposit Scheme?
a) Income Tax Assess who are eligible for exemption under section 54 of the IT Act are alone can open account with Banks
b) Accounts can be opened under Savings, Fixed and Term Deposits
c) Cheque book can be issued to eligible accounts.
d) No lien or deposit loan is allowed against such deposits
e) None

10. Which of the following statement is not correct with regard to Tax Saver Scheme of Banks?
a) Tax exemption is available for the deposit amount under section 80C of IT Act
b) Period of deposit is allowed up to 5 Years
c) TDS is applicable, if interest payment is above Rs.10000/- in a financial year
d) Maximum amount of deposit allowed is Rs. 5 lakhs
e) c & d

11. Financial statements includes
a) Balance Sheet
b) P & L
c) Cash & Funds Flow
d) a & b
e) a, b & c

12. Banks are permitted to take over borrowal accounts from other Banks & Financial institutions provided
a) Account should be Standard Asset with positive net worth
b) Copy of the borrowal account for preceding 12 months is to be obtained
c) P & C report is to be obtained from other bank before disbursement
d) Branch to take approval from next sanctioning authority
e) All of the above

13. RBI extending incentives to Banks for the following services
a) Adjudication of Mutilated Bank Notes
b) Exchange of Soiled Notes
c) Distribution of Coins over the counter
d) Establishment of Coin vending Machines
e) All of the above

14. Which agency is enabling the transfer of subsidies directly to beneficiary accounts through Aadhaar Enabled Payment Bridge (APB)?
a) RBI
b) SEBI
c) IDRBT
d) NPCI
e) SBI

15. Call Money Market interest are linked to
a) Bank Rate
b) Repo Rate
c) Reverse Repo Rate
d) Market forces
e) None

16. Transaction Password relates to
a) Core Banking
b) ATM operations
c) Internet Banking
d) Tele banking
e) None

17. Nomination in respect of the following is to be witnessed by two persons.
a) All deposit accounts
b) Deposit accounts where the
nominee is a minor
c) Physically challenged accounts
d) Thumb impression accounts (illiterate)
e) None

18. When the contents of the Negotiable Instrument are modified by the drawer, it is treated as
a) Forgery
b) Fraud
c) Material alteration
d) suppression of facts
e) None

19. Prepayment charges are exempted for
a) Housing Loans
b) Education Loans
c) Agr. Loans
d) Corporate Loans
e) a, b & c

20. IFSC code consists of ___ Digits.
a) 9
b) 10
c) 11
d) 15
e) None

21. One Bank account per family is mandatory to avail
a) Credit facility from bank
b) Direct Benefit Transfer benefit (subsidy)
c) Interest subvention – Housing Loan
d) either a or b
e) none

22. What is the time limit to furnish the requested information under Right to Information Act (RTI) and what is the penalty for noncompliance of the said norm?
a) 30 days & Rs. 100 per day
b) 60 days & Rs. 100 per day
c) 30 days & Rs. 250 per day maximum of Rs. 25000/-
d) 60 days & Rs. 250 per day
e) None

23. The documents to be insisted from a NRI for opening an account is
a) Copies of Passport and VISA
b) Local and Overseas addresses
c) Compliance of KYC norms
d) Latest Passport size photographs
e) All of the above

24. Minimum and Maximum period of Certificate of Deposits
a) 15 days & 1 year
b) 30 days & 1 year
c) 7 days & 1 year
d) 7 days & no limit
e) None

25. Loans not exempted from Base Rate Purview?
a) Consortium Advance
b) Loans against deposits
c) Export Credit
d) Loans to staff members
e) None

26. Visually challenged persons are allowed to avail the following banking facilities?
a) Cheque Book
b) Debit Card
c) ATM Card
d) Locker
e) All

27. Housing Loan up to ___ is treated as Priority Sector.
a) 10 lakh
b) 15 lakh
c) 25 lakh in Metro with population above 10 lakh to 15 lakh in other centers
d) 25 lakh at all places
e) None

28. Nominee can exercise his right
a) During the tenure of deposit
b) On maturity of deposit
c) Any time since he will be treated as joint depositor
d) He has no right on deposit since it is in the name of the depositor
e) On the death of the depositor

29. Balances under Cash Reserve Ratio (CRR) earn interest @___
a) 3% p.a.
b) Applicable SB Interest Rate
c) 5% p.a.
d) No interest
e) None

30. Banks are allowed to accept deposits under Capital Gains Scheme in ___
a) Savings
b) Fixed
c) Current
d) a & b
e) Any scheme

31. During March 2015, a Reserve Bank of India (RBI) committee had recommended introduction of PSLCs to enable banks "to meet their PSL requirements even while leveraging their comparative advantage in lending". What does the PSLC stands for?
a) Priority Sector Lending Certificates
b) Priority sector Loan Certificates
c) Primary and Secondary Sector Certificates
d) Public Sector Lending Certificates
e) None of the above

32. Zero Coupon Bonds refers to
a) Bond issued at face value
b) Bond issued with face value & interest
c) Bond issued at discount from its face value with interest
d) Bond issued at discount from its face value without interest
e) None

33. ATMs that are owned and managed by non-banking entities are called as ___
a) Onsite ATM
b) Offsite ATM
c) Third Party ATM
d) Red label ATM
e) White label ATM

34. For transfer of funds through NEFT (National Electronic Fund Transfer) and minimum and maximum amount that can be transferred are
a) Rs.1,000 and maximum Rs. 5 lakhs.
b) Rs. 1000 and maximum no limit
c)Rs. 5,000 and maximum 1 lakh
d) No minimum & maximum amount
e) None

35. Cash kept in the currency chest is owned by
a) Currency Chest Branch Bank
b) Central Government
c) Reserve Bank of India
d) State Bank of India
e) None of the above

36. Bank can't proceed against the borrower under SARFAESI Act where
a) Security is agri land
b) Liability is less than 1 lakh
c) Liability is less than 20% of the principal
d) Pledge of movables
e) All of the above

37. The minimum capital required to start a new private sector bank is?
a) Rs. 100 crore
b) Rs.200 crore
c) Rs. 300 crore
d) Rs.400 crore
e) Rs. 500 crore

38. RBI injects liquidity through
a) Increase Bank Rate
b) Reduction of Repo Rate
c) Reduction of Reverse Repo
d) Increase CRR
e) Increase SLR

39. A customer requested to include his wife and daughter as nominees after one year of opening of the account. Will it be accepted?
a) It can be accepted since the nominees are the family members of the depositor
b) Cannot be considered since the request is not received at the time of opening of account
c) Can be considered with 50% share each
d) Nomination should be made only in favor of single name. Hence can’t be considered
e) None of the above

40. What is the relationship between the Bank and Overdraft Customer where the account is showing credit balance?
a) Creditor & Debtor
b) Principle & Agent
c) Trustee & Beneficiary
d) Debtor & Creditor
e) None of the above

ANSWERS:
1) d; 2) b; 3) a; 4) d; 5) b; 6) d; 7) e; 8) b; 9) c; 10) d;
11) e; 12) e; 13) e; 14) d; 15) d; 16) c; 17) d; 18) c; 19) e; 20) c;
21) b; 22) a; 23) e; 24) c; 25) a; 26) b; 27) c; 28) e; 29) d; 30) d;
31) a; 32) d; 33) e; 34) c; 35) c; 36) b; 37) e; 38) b; 39) d; 40) d.

Establishment of PCPIRs

The Government of India has approved setting up four Petroleum, Chemicals and Petrochemicals Investment Regions (PCPIRs) in the States of Andhra Pradesh (Vishakhapatnam – Kakinada), Gujarat (Dahej), Odisha (Paradeep) and Tamil Nadu (Cuddalore – Nagapattinam) which are estimated to attract investments of around Rs.7.63 lakh crore and provide employment to around 33.96 lakh persons. These PCPIRs are at different stages of implementation. PCPIRs are the projects with long gestation period and may take around 15-20 years to achieve full potential. As on 31.01.2015, investment of approx. Rs. 1.60 lakh crore have been made and direct & indirect employment for approx 2.23 lakh persons has been generated. 

The PCPIR projects are already functional and realization of full potential is a gradual process. The Government has set up Steering Committees for monitoring the implementation of PCPIRs in various States. The PCPIRs have been promoted in domestic and international forum through exhibition, road shows and interaction with industry associations in order to attract investments. 

Pradhan Mantri Kaushal Vikas Yojana

The Union Cabinet chaired by the Prime Minister, Shri Narendra Modi, today gave its approval for the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) with an outlay of Rs.1500 crore. 

This will be the flagship scheme for skill training of youth to be implemented by the new Ministry of Skill Development and Entrepreneurship through the National Skill Development Corporation (NSDC). The scheme will cover 24 lakh persons. Skill training would be done based on the National Skill Qualification Framework (NSQF) and industry led standards. Under the scheme, a monetary reward is given to trainees on assessment and certification by third party assessment bodies. The average monetary reward would be around Rs.8000 per trainee. 

Out of the total outlay of Rs.1120 crore to be spent on skill training of 14 lakh youth, special emphasis has been given to recognition of prior learning for which an amount of Rs.220 crore has been provided. Awareness building and mobilization efforts would be focused for attention, for which Rs.67 crore has been provided. Mobilization would be done through skill melas organized at the local level with participation of the State Governments, Municipal Bodies, Pachayati Rai Institutions and community based organizations. The focus under the scheme is also on mentorship support and placement facilitation for which an outlay of Rs.67 crore has been provided. An allocation of Rs.150 crores has been made for training of youth from the North-East region. 

Highlights of skill training would be that it would be done on the basis of demand assessed on the basis of recent skill gap studies conducted by the NSDC for the period 2013-17. For assessment of demand of Central Ministries/Departments/State Governments, industry and business would be consulted. A demand aggregator platform would be launched for the purpose very soon. The target for skilling would be aligned to demand from other flagship programmes launched in recent times such as Make in India, Digital India, National Solar Mission and Swachh Bharat Abhiyan. Skill training under the new scheme will primarily be focused on a first time entrants to the labour market and primarily target Class 10 and Class 12 drop outs. 

The scheme would be implemented through NSDC training partners. Currently NSDC has 187 training partners that have over 2300 centres. In addition, Central / State Government affiliated training providers would also be used for training under the scheme. All training providers will have to undergo a due diligence before being eligible for participating under this scheme. Focus under the PMKVY would be on improved curricula, better pedagogy and better trained instructors. Training would include soft skills, personal grooming, behavioral change for cleanliness, good work ethics. Sector Skill Councils and the State Governments would closely monitor skill training that will happen under PMKVY. 

Skill Development Management System (SDMS) would be put in place to verify and record details of all training centres a certain quality of training locations and courses. Biometric system and video recording of the training process would be put in place where feasible. All persons undergoing training would be required to give feed back at the time of assessment and this would become the key element of the evaluation framework to assess the effectiveness of the PMKVY scheme. A robust grievance redressal system would be put in place to address grievances relating to implementation of the scheme. An online citizen portal would be put in place to disseminate information about the scheme.