Banking Terms And Abbreviations

Banking Terms And Abbreviations

Terms	Full Forms	Definitions
LAF	Liquidity Adjustment Facility	By this policy, banks are allowed through repurchase agreements to borrow money.
MCA	Ministry of Company Affairs	This Ministry regulates various sectors. Arun Jaitley is the current minister of MCA.
MSF	Ministry of Company Affairs	In emergency Situation this facility allows banks to borrow the required money from RBI (Reserve Bank of India).
MIBOR	Mumbai Inter Bank Offered Rate	–
MIS	Management Information System	The weaknesses and strengths of the company are measured by this system. It is just a planning tool system of the company.
MMSE	Minimum Mean Squared Errors	Basically, it is used to decrease the errors. It uses estimation to decrease the mean squared error.
NABARD	National Bank for Agriculture and Rural Development	Established in 1982. Dr. Harsh Kumar Bhanwala is its chairman. This bank was set up for agricultural development.
NASSCOM	National Association of Software and Services Companies	It is a non-profit organization that was established in 1988. It has right now 1500 + members. R. Chandrasekhar is its president.
NCTC	National Counter Terrorism Centre	Indian government formed this center in 2008 after Mumbai attack. It comes under IB (Intelligence Bureau). It works for handling and controlling the terrorism.
NBFCs	Non Banking Finance Companies	Which not being a bank still act as a financial institute.
NBC	Non-Banking Companies	It acts as a financial institute.
NEFT	National Electronic Fund Transfer	One of a very effective and efficient electronic fund transfer system which started in India in 2005. Banks provides its customers with this facility with proper security for transferring the fund. The transfer limits are set at 2.5 lakhs.
NBFC	Non-Banking Financial Companies	This type of company has no interference of any bank and government as well and above that banking license not needed.
NEER	Nominal Effective Exchange Rate	NEER represents the difference between the value of a currency with respect to another currency. So simply this is a way to compare one country’s currency with another
NFA	Net Foreign Assets	This asset is equal to the balance of payment. NFA = Current account + Valuation Effect.
NSFR	Net Stable Funding Ratio	It was established just ahead of the crisis that occurred in 2007 -2008. NSFR = Available amount of stable funding / Required amount of stable funding >100%
NGO	Non-Government Organization	They are basically a Non – Profit Making Organization. In this NGOs number of countries comes together, gather money and work for nonprofit activity. The government is not supposed to take part in these activities.
NHB	National Housing Bank	RBI established it in 1988 under National Housing Bank act 1987. It is a financial institute for housing. It provides the house loan to the needy.
NSG	Nuclear Supplier Group	This group consists of seven countries’ government who are supposed to act as participants and they all works in the direction to control the people who are an expert of the equipment, used in the manufacturing of nuclear weapons.
NPA	Non Performing Assets	Basically, this term is used for those financial institutes who borrowed the money are in default due to loan. Because the borrower was not able to make the payment within 90 days after the due date and then they are considered as NPA.
NSC	National Statistical Commission	The government of India established it in 2006, to manage or handle the mistake and problems that statistical agencies make at the time of collecting data.
NSSF	National Small Savings Fund	The government established this in 1999 to pool all available small resources and put them together and simplify things for that category of customers whose financial savings or household savings are small.
OD	Overdraft	In this facility, companies can withdraw more money than their actual available balance in their bank accounts. This facility is provided to companies by the discretion of the bank.
ODA	Official Development Assistance	DAC (Development Assistance Committee) formed this to measure and keep a check on the transfer of resources from place to place.
OMO	Open Market Operations	OMO is basically carried out to maintain the currency liquidity. In which central bank buys or sells bonds in the open market.
PACS	Primary Agriculture Credit Societies	RBI established This Society in India to deal with a specific kind and level Customers (Gram Panchayat & village level).
PDAI	Primary Dealers Association of India	PDAI was formed under RBI by PD (Primary Dealers). It represents the market practices which develops a healthy market and are suitable for market.
PDO	Public Debt Office	PDO is a strategy for the ministry of finance for debt.
PIO	Persons of Indian Origin	Other than the citizens of Afghanistan, Bangladesh, Bhutan, China, Nepal, Sri Lanka and Pakistan, people can get this certificate.
PO	Principal Office