Banking Awareness PYQs

The correct answer is 'HDFC Bank, Canara Bank'.

Key Points

• HDFC Bank and Canara Bank have got approval from the Reserve Bank of India (RBI) to open a special Vostro account for trade in rupees and both the approvals are for trade with Russia.
• So far five Indian banks, UCO Bank, Union Bank, and IndusInd Bank being the other three, have received regulatory clearance for such trade.
• This apart, two Russian banks- Sber Bank and VTB have the RBI’s approval. Both have branches in India.
• According to sources, three banks have opened accounts so far though no deal has been done through this mechanism. The move is aimed at popularising trade in the domestic currency.

Additional Information

• Kolkata-based UCO Bank was the first Indian bank to receive the RBI’s approval to open a special Vostro account with Russia’s Gazprombank, which was set up by the world’s largest gas producer and exporter, Gazprom.
• After the Russia-Ukraine war broke out in late February, resulting in the former facing sanctions from European countries and the United States, the need to develop an alternative currency for trade arose.

The correct answer is ‘Byju's’

 

Key Points

 

• Edtech major Byju's has been announced as one of the official sponsors for FIFA Qatar World Cup 2022.
• Through this partnership, Bengaluru-based Byju’s will leverage its rights to the FIFA World Cup 2022 marks, emblem, and assets, and run unique promotions to connect with passionate football fans around the world.
• It will also create engaging and creative content with educational messages as part of a multifaceted activation plan.
• The FIFA World Cup Qatar 2022 will take place from 21 November to 18 December 2022.
• Byju’s has already empowered 3.4 million students from underserved communities with digital learning in India and aims to reach 10 million students in its home country by 2025.

The correct answer is 5.

Key Points 

• The Agriculture Census is conducted every 5 years, which is being undertaken now after a delay due to the corona pandemic.
• The ministry is implementing an agriculture census scheme from 1970-71. The tenth edition of the census was conducted with the reference year 2015-16.
• The agricultural census is the main source of information on a variety of parameters, such as the number and area of operational holdings, their size, class-wise distribution, land use, tenancy and cropping pattern, etc.

Additional Information

• Agriculture Minister Narendra Singh Tomar launched the eleventh agricultural census to collect data on various parameters, including operational holdings.
• The fieldwork of the Eleventh Agricultural Census (2021-22) was started in August 2022.
• The minister released the 'Handbook on Operational Guidelines for Census' for the use of states/UTs, and launched the 'Data Collection Portal/App'.
• In the two Agricultural Censuses, namely, 1950 and 1960, data required for the World Agricultural Census were collected through sample Surveys carried out by the erstwhile Directorate of National Sample Survey (Now called 'National Sample Survey Office) which gave estimates for the country as a whole and also for States.

The correct answer is Bureau of Indian Standards.

Key Points

• Bureau of Indian Standards, the National Standards Body of India has signed an MoU with Testing, Inspection, Certification Council.
• They will collaborate to promote implementation of standards and quality, safety and sustainability practices in laboratories.
• TIC Council is a global trade association representing independent third-party testing, inspection and certification industry.

The Correct answer is SLR (statutory liquidity ratio)

Key PointsExplanation:

• Statutory Liquidity Ratio (SLR) is the portion of time (fixed deposits) and demand liabilities (savings bank and current accounts) of banks that they should keep in the form of designated liquid assets like government securities, gold and Vault Cash.
• SLR aims at ensuring that the need for government funds is partly but surely met by the banks.
• The maximum limit is 40% according to the Reserve Bank of India Act and Banking Regulation Act.

The correct answer is Tamil Nadu.

• Apple Inc. will manufacture Made-In-India iPhone 12 soon.
• Its latest model was launched in India on October 30, 2020.
• iPhone 12 will be manufactured at the Hon Hai Precision Industry (Foxconn) facility in Tamil Nadu, both for the domestic as well as export market.
• The unit also manufactures iPhone 11, which is the bestseller in India, as well as iPhone XR.

The correct answer is ‘₹6,000 crore’

Key Points

• Prime Minister Narendra Modi launched the ₹6,000 crore 'Raising and Accelerating MSME Performance' (RAMP) scheme in the 'Udyami Bharat' programme at Vigyan Bhawan in New Delhi.
• The scheme aims to scale up the implementation capacity and coverage of MSMEs in the states, with impact enhancement of existing MSME schemes.
• It will complement the Aatmanirbhar Bharat Abhiyan by fostering innovation, encouraging ideation, enhancing market access, deploying technological tools and Industry 4.0 to make MSMEs competitive and self-reliant.
• The prime minister said that for orders up to ₹200 crores, no global tender will be undertaken.
• While addressing the programme, Prime Minister also said that more than ₹500 crores have been digitally transferred to 18,000 MSMEs.
• More than ₹500 crores have been digitally transferred to 18,000 MSMEs.
• During the event, the prime minister also launched 'Capacity Building of First-Time MSME Exporters' (CBFTE) scheme and new features of the 'Prime Minister's Employment Generation Programme' (PMEGP).
• The 'Capacity Building of First-Time MSME Exporters' (CBFTE) scheme aims to encourage MSMEs to offer products and services of international standards for the global market.
• This will enhance the participation of Indian MSMEs in the global value chain and help them realize their export potential.

The correct answer is Australia.

Key Points

• The ECTA (Economic Cooperation and Trade Agreement) was signed on April 2, 2022, and ratified on November 21, written notifications were exchanged on November 29, and after 30 days.
• The India-Australia ECTA provides an institutional mechanism to encourage and improve trade between the two countries.
• It covers almost all the tariff lines dealt with by India and Australia.
• India will benefit from preferential market access provided by Australia on 100% of its tariff lines, including all the labour-intensive sectors of export interest to India, such as Gems and Jewellery, Textiles, leather, footwear, furniture, food, and agricultural products, engineering products, medical devices, and Automobiles.
• On the other hand, India will offer preferential access to Australia on over 70% of its tariff lines, including lines of export interest to Australia, which are primarily raw materials and intermediaries such as coal, mineral ores, and wines.
• Both sides have also agreed to a separate Annex on Pharmaceutical products under this agreement, which will enable fast-track approval for patented, generic and biosimilar medicines.

Additional Information

• Australia is an important strategic partner of India.
• They are also part of the four-nation QUAD, Trilateral Supply Chain Initiative, and the Indo-Pacific Economic Forum (IPEF).
• India and Australia in December 2022,  held joint military drills as part of the ongoing joint military exercise 'Austra Hind 22' in Rajasthan's Mahajan field firing ranges.

The correct answer is ‘September 30, 2022’

Key Points

• The Reserve Bank of India (RBI) extended the card-on-file (CoF) tokenization deadline by three months to September 30, 2022.
• Tokenization is the process of replacing actual card details with a unique alternate code called 'Token' - thereby enabling more secure transactions.
• Card-on-file, or CoF refers to card information stored by payment gateway and merchants to process future transactions.
• The industry stakeholders have highlighted some issues related to the implementation of the framework in respect of guest checkout transactions.
• As per the RBI previous mandate to enhance the security of online transactions, card details saved on the merchant website/app were to be deleted by the merchants by June 30, 2022.
• To date, about 19.5 crore tokens have been created however for CoFT (i.e. creating tokens) is voluntary for the cardholders.
• The basic purpose of tokenization is to increase and improve customer safety and with tokenization, storage of card details is limited.

The correct answer is 'U.S.A'.

Key Points

• Ben S. Bernanke, Douglas W. Diamond and Philip H. Dybvig won the 2022 Nobel Prize in Economics for research on banks and financial crises.
• The committee said that the three laureates have significantly improved our understanding of the role of banks in the economy, particularly during financial crises, and an important finding in their research is why avoiding bank collapses is vital.
• Modern banking research clarifies why we have banks, how to make them less vulnerable in crises and how bank collapses exacerbate financial crises. The foundations of this research were laid by Ben Bernanke, Douglas Diamond, and Philip Dybvig in the early 1980s.
• Their analyses have been of great practical importance in regulating financial markets and dealing with financial crises.
• The Nobel Memorial Prize in Economic Sciences, officially the Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel is an economics award administered by the Nobel Foundation.
• Although not one of the five Nobel Prizes which were established by Alfred Nobel's will in 1895, it is commonly referred to as the Nobel Prize in Economics.
• The winners of the Nobel Memorial Prize in Economic Sciences are chosen in a similar way, are announced along with the Nobel Prize recipients, and the prize is presented at the Nobel Prize Award Ceremony.

Additional Information

• The Nobel Memorial Prize in Economic Sciences award was established in 1968 by an endowment "in perpetuity" from Sweden's central bank, Sveriges Riksbank, to commemorate the bank's 300^th anniversary.
• It was first awarded in 1969 to Dutch economist Jan Tinbergen and Norwegian economist Ragnar Frisch "for having developed and applied dynamic models for the analysis of economic processes".

The correct answer is ‘Only (iii)’

 

Key Points

 

• As per the Union Budget 2022, a National Asset Reconstruction Company Ltd (NARCL) and an Asset Management Company (IDRCL) have been set up by lenders (public sector and private sector banks and financial institutions).
• These companies will consolidate and take over the existing stressed debt in the banking/ financial system.
• The NARCL will acquire assets by making an offer to the lead bank.
• IDRCL is yet to become operational. As an asset management company, it will manage the asset and engage market professionals and turnaround experts for debt resolution.
• State Bank of India, Bank of Baroda, Punjab National Bank, Union Bank of India, Canara Bank, and Bank of Maharashtra have subscribed the shares of India Debt Resolution Company Ltd (IDRCL).
• State Bank of India, Bank of Baroda, Union Bank of India have subscribed to 99,000 shares of Rs 10 each of IDRCL.
• Public sector banks (PSBs) will hold a minimum of 51% stake in NARCL and the rest will be with private sector banks.

 

Additional Information

  

National Asset Reconstruction Company Limited:

 

• It has been incorporated under the Companies Act and has applied to the RBI for the license as an Asset Reconstruction Company (ARC).
• NARCL has been set up by banks to aggregate and consolidates stressed assets for their subsequent resolution.
• NARCL proposes to acquire stressed assets of about Rs. 2 Lakh crore in phases within extant regulations of RBI. In phase I, fully provisioned assets of about Rs. 90,000 crores are expected to be transferred to NARCL, while the remaining assets with lower provisions would be transferred in phase II.
• It intends to acquire these through 15% Cash and 85% in Security Receipts (SRs).
• Central Government guarantee of Rs.30,600 crore to back Security Receipts issued by National Asset Reconstruction Company Limited (NARCL) for acquiring stressed loan assets.
• Pradip Shah is the chairman of the National Asset Reconstruction Company (NARCL).

The correct answer is RBI.

Key Points

• Reserve Bank of India (RBI) has imposed a fine of Rs 1.67 crore on Ola Financial Services Private Limited for non-compliance with certain provisions related to Prepaid Payment Instruments (PPI) and Know Your Customer (KYC) norms.
• The penalty has been imposed in exercise of powers vested in RBI under Section 30 of the Payment and Settlement Systems Act, 2007.

Additional Information

• RBI:
• Governor - Shaktikanta Das.
• Headquarters - Mumbai.
• Founded: 1 April 1935, Kolkata.
• The Bank publishes two statutory reports, the Annual Report of the Bank and the Report on Trend and Progress of Banking in India.
• It also publishes Financial Stability Report.

The correct answer is 49%.

Key Points

• Paytm Payments Bank (PPBL) management has received an RBI-mandated IT auditors report and the central bank’s observation on it, more than six months after it was asked to pause onboarding new customers.
• The payments bank is a joint venture between Paytm, which owns a 49% stake in the company, and Vijay Shekhar Sharma, who holds 51%.
• The bank management is in the process of responding to the RBI and will wait for further discussions/directions from the regulator.
• The fintech firm informed that it cannot share a timeline on when it would be permitted to resume onboarding new customers.
• Paytm has posted a consolidated loss of Rs 571.5 crore for the quarter that ended September FY23, widening from a loss of Rs 473.5 crore recorded in the same period last year.
• However, the loss narrowed from Rs 645.4 crore registered in Q1FY23.
• Paytm Payments Bank (PPBL)
• Paytm Payments Bank (PPBL) is an Indian payments bank headquartered in Noida that was founded in 2015. The Reserve Bank of India granted it a license to operate a payments bank the same year, and it began operations in November 2017. The RBI granted the bank scheduled bank status in 2021.
• Paytm Payments Bank is India’s first mobile-first bank, with no minimum balance and no digital transaction fees. Paytm Payment Bank provides a Paytm wallet and Paytm Savings bank account.
• Vijay Shekhar Sharma owns 51% of the company, while One97 Communications Limited owns the remaining 49%. Paytm Payments Bank is promoted by Vijay Shekhar Sharma.
• Payments Bank
• The creation of a “Payments Bank” to serve low-income individuals and small businesses were suggested by a committee led by Dr. Nachiket.
• A payments bank, such as Airtel Payments Bank, India Post Payments Bank, etc., functions similarly to a regular bank but on a smaller or more constrained scale.
• With the Payments Bank, there is no credit risk. The majority of banking tasks can be completed by it, but it cannot make loan advances or issue credit cards.
• Only demand deposits—savings and current accounts—can be accepted; time deposits are not permitted.
• Subsidiaries cannot be established by Payment Banks to provide non-banking financial services.
• RBI
• The Reserve Bank of India, which also serves as the country’s central bank and regulatory agency, governs the Indian banking system.
• It is owned by the Ministry of Finance, Government of India.
• It began operations on April 1, 1935, in compliance with the Reserve Bank of India Act, of 1934.
• Founded on April 1, 1935
• Shaktikanta Das is the Governor of RBI

The correct answer is ‘West Bengal’

Key Points

• According to a report released by a microfinance industry body, West Bengal has the highest average loan outstanding per borrower at Rs 53,708.
• It is followed by Kerala at Rs 46,074 among the top ten states of the country.
• The report prepared by the Microfinance Institutions Network (MFIN) said MFI loan disbursals in the last financial year improved significantly to around Rs 2.40 lakh crore as compared to nearly Rs 1.89 lakh crore in the previous fiscal.
• The number of loans disbursed also saw an increase during the financial year 2021-22, indicting a continued growth of the microfinance portfolio.
• Firstly, the proportion of the NBFC-MFI portfolio increased by 4.1 percent to 35.2 percent as on March 31, 2022, though banks continue to be the main contributors.
• Small finance banks (SFBs) have a total loan outstanding of Rs 48,314 crore with a total share of 16.9 percent, while NBFCs with 6.9 percent and other MFIs at one percent.

The correct answer is Reliance Industries.

Key Points

• Mukesh Ambani-led Reliance Industries has emerged as India's best employer and the world's 20^th best firm to work with, according to Forbes' World's Best Employers rankings in 2022.
• With 230,0000 employees, Reliance is the only Indian company in the top 100.
• The global ranking was topped by South Korea's Samsung Electronics, followed by US' Microsoft, IBM, Alphabet, and Apple.

Additional Information

• Reliance Industries Limited is an Indian multinational conglomerate company.
• It has diverse businesses including energy, petrochemicals, natural gas, retail, telecommunications, mass media, and textiles.
• Reliance Industries Limited:
• Founded: 1973
• Headquarters: Mumbai
• Founder: Dhirubhai Ambani

The correct answer is II and III only.

Key Points

• The Maulana Abul Kalam Azad Trophy, abbreviated as MAKA Trophy, is a sports honor of the Republic of India. Hence statement I is wrong.
• It is a rolling trophy awarded to the 'overall top performing University in sports and promoting competitive sports in University' over the preceding year.
• Guru Nanak Dev University, Amritsar has won Maulana Abul Kalam Azad (MAKA) Trophy 2022. Hence statement II is right. 
• The trophy was first awarded in 1956–1957.
• The award for the university securing the first position comprises 'a rolling MAKA trophy and a cash prize of ₹15 lakh (US$19,000)'. The **second and third-place** universities receive cash prizes of **₹7.5 lakh** (US$9,400) and ₹4.5 lakh (US$5,600) respectively.

Additional Information Maulana Abul Kalam Azad Trophy

• Six universities have won the trophy various times. Guru Nanak Dev University in Amritsar has won the trophy 23 times, most recently in the year 2022.
• Panjab University in Chandigarh has won the trophy 15 times, most recently in the year 2020.
• While Delhi University based in Delhi has won the trophy 14 times, most recently in the year 2000–2001.
• Other winners include Bombay University in Mumbai which won the inaugural trophy, Punjabi University in Patiala, and Kurukshetra University in Kurukshetra$.

The correct answer is option 1, i.e. State Bank of India.

• State Bank of India sponsors the most Regional Rural Banks in India.
• There are 43 RRBs in India. The primary function of these banks is to provide banking and loan facilities to MSMEs and encourage financial inclusion.
• RRBs were established as per the Regional Rural Banks Act 1976 on the recommendations of the M. Narasimham Working Group with a view to providing sufficient banking and credit facilities to agriculture and other rural sectors.
• Each RRB is sponsored by the Government of India along with the State Government and Sponsor bank.
• “Prathama Grameen Bank” was the first Regional Rural Bank. It was sponsored by Syndicate Bank (now Canara Bank).
• State Bank of India sponsors 14 RRBs.

The correct answer is Exchange traded fund.

An Exchange Traded Fund (ETF) is a security that tracks an index like an index fund, but trades like a stock on an exchange.

• Constituent stocks are listed and actively traded, and may have representation from various sectors to provide ETF unit holders adequate diversification.
• Disinvestment through the ETF route allows the simultaneous sale of GoI stake in various CPSEs across diverse sectors through a single offering and avoids the necessity to go to the market repeatedly for divesting different stocks.
• The CPSE-ETF provides a mechanism for the GoI to monetize its shareholding in those CPSEs that eventually form part of the CPSE ETF basket, in a stock-neutral, time-efficient and non-disruptive manner.
• The CPSE-ETF approved in May, 2013 comprises stocks of listed CPSEs with disinvestment upto 3% of GoI shareholding from an individual CPSE constituent of ETF.
• The CPSE-ETF  approved basket comprises 10 scrips, namely, BEL, CIL, EIL, CONCOR, GAIL, IOL, OIL, ONGC, PFC & REC. The Government realized an amount of Rs. 3000 crore as disinvestment proceeds through New Fund Offer (NFO) of CPSE-ETF scheme launched in March, 2014.

The correct answer is Varuna.

Key Points

• PM Narendra Modi on 20 July 2022 unveiled 'Varuna', India’s first passenger drone in New Delhi.
• Varuna has been developed by a startup 'Sagar Defence Engineering' specifically for the Indian Navy.
• It can carry a 130 kg human payload & has a range of 25 km.
• It has 25-33 minutes of flight time

Additional Information

• Sagar Defence Engineering founded: 2015
• Headquarters: Mumbai
• CEO: Nikunj Parashar
• Important Current Affairs Related to PM Narendra Modi:​ 
• Prime Minister Narendra Modi inaugurated the Akshaya Patra Foundation’s new mid-day kitchen in Varanasi on 7 July 2022.
• PM Narendra Modi on 7 July 2022 inaugurated 'Akhil Bhartiya Shiksha Samagam' on implementation of the National Education Policy (NEP) in Varanasi.
• The Ministry of Education is organising Shiksha Samagam from 7^th to 9^th July '22.
• PM Modi laid the foundation stone and inaugurated several projects worth 33000 crore rupees in Bengaluru on 20 June 2022.
• Prime Minister Narendra Modi inaugurated ‘Kranti Gatha’ on 14 June 2022.
• PM Modi on 10 June 2022 inaugurated the headquarters of the Indian National Space Promotion and Authorisation Centre (IN-SPACe) at Bopal in Ahmedabad, Gujarat.
• IN-SPACe was established in June 2020.
• PM Modi on 28 May 2022 inaugurated the world's first Nano Urea Liquid plant by IFFCO at Kalol, Gujarat.
• IFFCO nano urea liquid was developed through proprietary technology at Nano Biotechnology Research Centre in Kalol.
• PM Modi is going to release benefits under the PM CARES for Children Scheme on 30 May 2022.

The correct answer is Laver Cup.

Key Points

• Roger Federer will play the final match of his illustrious career in doubles alongside Rafael Nadal, his old rival, in the Laver Cup tournament in London on 23 Sept 2022.
• The pair will represent Team Europe against the American pair of Jack Sock and Frances Tiafoe.
• Federer, a 20-time Grand Slam winner, had announced last week that he would retire from tennis after Laver Cup 2022.

Additional Information​ 

• The Australian tennis and US tournaments are played on hard courts, the French Open on clay courts, and the Wimbledon on grass courts.
• The Laver Cup in Sept 2022 is going to be Roger Federer's final ATP tournament.
• Federer is the most successful player at Wimbledon, having won eight titles (2003-07, 2009, 2012, 2017).
• He last clinched a Grand Slam title in 2018 (Australian Open).