Banking Awareness,

Q1. The World Bank Group consists of how many organisations-

(a) One

(b) Two

(c) Three

(d) Four

(e) Five

Q2. The World Bank is like a cooperative, made up of --------------- member countries. These member countries, or shareholders, are represented by a Board of Governors, who are the ultimate policymakers at the World Bank. 

(a) 189

(b) 193

(c) 159

(d) 173

(e) 187

Q3. Name the agency, which is an agency to provide ‘soft-loans’ to developing countries?

(a) Asian Infrastructure Investment Bank (AIIB)

(b) Organisation of the Petroleum Exporting Countries (OPEC) 

(c) Asian Development Bank (ADB)

(d) World Trade Organization (WTO)

(e) International Development Association (IDA)

Q4. On July 15th, 2014 at the sixth summit in Fortaleza, Brazil the member countries signed the Articles for the New Development Bank (NDB). What is the authorised capital of NDB?

(a) USD 200 billion

(b) USD 300 billion

(c) USD 500 billion

(d) USD 100 billion

(e) None of the above

Q5. The first Board of Governors meeting of the BRICS New Development Bank was held in ____________ on July 7, 2015, where the Bank formally came into existence as a legal entity. 

(a) Brazil

(b) Russia

(c) South Africa

(d) India

(e) China

Q6. The New Development Bank (NDB) aims to mobilise resources for development projects in BRICS, emerging economies and developing countries. Where is the headquartered of NDB?

(a) Durban, South Africa

(b) Brasilia, Brazil 

(c) Moscow, Russia

(d) Shanghai, China

(e) New Delhi, India

Q7. With an initial funding of $912.7 million, International Development Association (IDA) was launched on-

(a) 24th September 1960

(b) 17th December 1920

(c) 22nd November 1959

(d) 23rd May 1919

(e) 15th October 1945

Q8. NIBM was established in ____________________ by the Reserve Bank of India, in consultation with the Government of India, as an autonomous apex institution for research, training, education and consultancy in bank management.

(a) 1982

(b) 1949

(c) 1921

(d) 1934

(e) 1969

Q9. NIBM is part of the grand vision of giving a new direction to the banking industry in India and making the industry a more cost-effective instrument for national development. NIBM stands for-

(a) Non-Organisation Institute of Bank Management

(b) National Institute of Bureau Management 

(c) National Investment of Bank Management

(d) National Institute of Bank Management

(e) None of the above

Q10. NIBM, an autonomous academic institution, is governed by a Board, its highest policy-making body. Where is the headquartered of NIBM?

(a) Nashik, Maharashtra

(b) Pune, Maharashtra

(c) Mumbai, Maharashtra

(d) Kolhapur, Maharashtra

(e) Nagpur, Maharashtra

Q11. ___________ is an electronic fund transfer system that operates on a Deferred Net Settlement (DNS) basis which settles transactions in batches.

(a) NEFT

(b) RTGS

(c) NPCI

(d) BBPS

(e) IMPS

Q12. The Central Office of the Reserve Bank was initially established in Calcutta (now Kolkata) but was permanently moved to Mumbai in-

(a) 1949

(b) 1937

(c) 1943

(d) 1945

(e) 1934

Q13. The Reserve Bank of India (RBI) is vested with the responsibility of conducting monetary policy. This responsibility is explicitly mandated under which act?

(a) Companies Act, 1956

(b) Negotiable Instruments Act, 1881

(c) Reserve Bank of India Act, 1934

(d) Banking Regulation Act, 1949

(e) None of the given options is true 

Q14. A facility under which scheduled commercial banks can borrow the additional amount of overnight money from the Reserve Bank by dipping into their Statutory Liquidity Ratio (SLR). It is called? 

(a) Repo Rate

(b) Reverse Repo Rate

(c) Bank Rate 

(d) Marginal Standing Facility (MSF)

(e) Liquidity Adjustment Facility (LAF)

Q15. National Housing Bank (NHB) was set up on ______________ under the National Housing Bank Act, 1987.

(a) 01st July 1956

(b) 02nd October, 1976

(c) 01st January 1934

(d) 21st May 1956

(e) 09th July 1988

Solutions

S1. Ans.(e)
Sol. The World Bank Group consists of five organisations. These are:- 
1. International Bank for Reconstruction and Development (IBRD) 
2. International Development Association IDA) 
3. International Finance Corporation (IFC) 
4. Multilateral Investment Guarantee Agency (MIGA) 
5. International Centre for Settlement of Investment Disputes (ICSID)

S2. Ans.(a)
Sol. The World Bank is like a cooperative, made up of 189 member countries. These member countries, or shareholders, are represented by a Board of Governors, who are the ultimate policymakers at the World Bank. 

S3. Ans.(e)
Sol. International Development Association (IDA) is an agency to provide ‘soft-loans’ to developing countries.

S4. Ans.(d)
Sol. At the fourth BRICS Summit in New Delhi (2012), the leaders of Brazil, Russia, India, China and South Africa considered the possibility of setting up a New Development Bank (NDB) to mobilize resources for infrastructure and sustainable development projects in BRICS and other emerging economies, as well as in developing countries. the authorised capital of NDB is USD 100 billion.

S5. Ans.(b)
Sol. The inaugural meeting of the Board of Governors of the NDB was chaired by Russia and held on the eve of the Ufa Summit on 7 July 2015, when the Bank formally came into existence as a legal entity. 

S6. Ans.(d)
Sol. Shanghai, China is the headquartered of New Development Bank (NDB).

S7. Ans.(a)
Sol. With an initial funding of $912.7 million, IDA was launched on September 24, 1960, with 15 signatory countries - Australia, Canada, China, Germany, India, Italy, Malaysia, Norway, Pakistan, Sudan, Sweden, Thailand, United Kingdom, United States, and Vietnam.

S8. Ans.(e)
Sol. National Institute of Bank Management (NIBM) was established in 1969 by the Reserve Bank of India, in consultation with the Government of India, as an autonomous apex institution for research, training, education and consultancy in bank management. 

S9. Ans.(d)
Sol. NIBM stands for National Institute of Bank Management.

S10. Ans.(b)
Sol. Pune, Maharashtra is the headquartered of National Institute of Bank Management (NIBM).

S11. Ans.(a)
Sol. National Electronics Funds Transfer (NEFT) is an electronic fund transfer system that operates on a Deferred Net Settlement (DNS) basis which settles transactions in batches.

S12. Ans.(b)
Sol. The Reserve Bank of India was established on April 1, 1935, in accordance with the provisions of the Reserve Bank of India Act, 1934. The Central Office of the Reserve Bank was initially established in Calcutta but was permanently moved to Mumbai in 1937.

S13. Ans.(c)
Sol. The Reserve Bank of India (RBI) is vested with the responsibility of conducting monetary policy. This responsibility is explicitly mandated under the Reserve Bank of India Act, 1934.

S14. Ans.(d)
Sol. Marginal Standing Facility (MSF) is a facility under which scheduled commercial banks can borrow the additional amount of overnight money from the Reserve Bank by dipping into their Statutory Liquidity Ratio (SLR).

S15. Ans.(e)
Sol. The Hon’ble Prime Minister of India, while presenting the Union Budget for 1987-88 on February 28, 1987, announced the decision to establish the National Housing Bank (NHB) as an apex level institution for housing finance. NHB was set up on July 9, 1988, under the National Housing Bank Act, 1987.