Free Test Financial Institutions – Civil S...

Q1: What is the main function of the Reserve Bank of India (RBI)?

A. Issue currency and regulate money supply B. Provide loans to individuals C. Collect taxes D. Control stock markets

Q2: Which institution provides refinance facilities to cooperative banks?

A. RBI B. NABARD C. SIDBI D. SEBI

Q3: What does NABARD stand for?

A. National Bank for Agriculture and Rural Development B. National Bank for Agricultural and Regional Development C. National Agriculture and Banking Rural Department D. National Agency for Banking and Rural Development

Q4: Which institution is responsible for regulating the capital markets in India?

A. RBI B. SEBI C. NABARD D. SIDBI

Q5: SIDBI primarily provides finance to:

A. Agriculture sector B. Small Scale Industries C. Large industries D. Exporters

Q6: Which is NOT a function of commercial banks?

A. Accepting deposits B. Providing loans C. Conducting monetary policy D. Facilitating payments

Q7: What is the primary objective of the Deposit Insurance and Credit Guarantee Corporation (DICGC)?

A. Insure bank deposits B. Grant loans to industries C. Regulate stock markets D. Control inflation

Q8: Which type of bank operates at the national level and is owned by the government?

A. Public Sector Bank B. Private Bank C. Cooperative Bank D. Foreign Bank

Q9: Which bank is India’s largest public sector bank?

A. SBI B. ICICI C. HDFC D. Axis Bank

Q10: What is a Non-Performing Asset (NPA)?

A. Loan repaid on time B. Loan overdue for more than 90 days C. New loan sanctioned D. Bank profit

Q11: Which institution provides short term credit to farmers?

A. NABARD B. RBI C. Cooperative Banks D. SIDBI

Q12: What is the role of Microfinance Institutions (MFIs)?

A. Provide small loans to the poor B. Provide large corporate loans C. Manage stock market investments D. Regulate banking sector

Q13: Which financial institution primarily finances exports?

A. EXIM Bank B. NABARD C. SIDBI D. RBI

Q14: Which of the following is NOT a financial institution?

A. LIC B. SEBI C. IDBI D. IRDA

Q15: What does IRDA regulate?

A. Banking sector B. Insurance sector C. Stock markets D. Agricultural credit

Q16: What is a “scheduled bank”?

A. Bank included in the Second Schedule of RBI Act B. Bank owned by private companies C. Bank dealing only with foreign exchange D. Bank exclusively for cooperatives

Q17: Which financial institution promotes industrial development in India?

A. SIDBI B. NABARD C. RBI D. IRDA

Q18: What is “priority sector lending”?

A. Loans given only to government B. Loans given to agriculture, MSMEs, etc. C. Loans given to foreign investors D. Loans given to urban sectors

Q19: Which institution provides refinance to cooperative banks and regional rural banks?

A. NABARD B. SIDBI C. EXIM Bank D. RBI

Q20: Which act governs the functioning of cooperative banks in India?

A. Cooperative Societies Act B. Banking Regulation Act C. Companies Act D. RBI Act

Quiz for Financial Institutions