1. Reserve Bank of India (RBI) established on ?

  • A) April 1, 1947

  • B) April 1, 1935

  • C) August 15, 1947

  • D) January 26, 1950

Answer: B) April 1, 1935


2. What is the primary function of the Reserve Bank of India in the context of monetary policy?

  • A) Retail Banking

  • B) Currency Issuance

  • C) Formulates and implements the monetary policy of the country

  • D) Rural Banking

Answer: C) Formulates and implements the monetary policy of the country


3. Which of the following is a function of the Reserve Bank of India?

  • A) Financial Stability

  • B) Currency Management

  • C) Retail Banking

  • D) Acts as the banker and financial advisor to the Government of India

Answer: A), B), D)


4. In what year did the government nationalize banks in India in two phases?

  • A) 1950

  • B) 1969 and 1980

  • C) 1975

  • D) 1991

Answer: B) 1969 and 1980




5. What is the focus of nationalized banks in the context of banking services?

  • A) Corporate Banking

  • B) Retail Banking

  • C) Rural Banking

  • D) International Banking

Answer: C) Rural Banking


6. What role does the Reserve Bank of India play in the regulation of banks and financial institutions?

  • A) Economic Development

  • B) Financial Inclusion

  • C) Currency Management

  • D) Regulatory Authority

Answer: D) Regulatory Authority


7. Which of the following is a function of nationalized banks related to large corporations and industries?

  • A) Rural Banking

  • B) Retail Banking

  • C) Corporate Banking

  • D) Economic Development

Answer: C) Corporate Banking


8. What is the common objective of both the Reserve Bank of India and nationalized banks in terms of economic development?

  • A) Currency Management

  • B) Financial Inclusion

  • C) Retail Banking

  • D) Economic Growth and Development

Answer: D) Economic Growth and Development


9. In which year did the Reserve Bank of India Act establish the Reserve Bank of India?

  • A) 1920

  • B) 1935

  • C) 1947

  • D) 1956

Answer: B) 1935


10. Securities and Exchange Board of India (SEBI) established on ?

  • A) 1990

  • B) 1988

  • C) 1992

  • D) 1985

Answer: B) 1988


11. In which year were statutory powers granted to SEBI under the SEBI Act?

  • A) 1990

  • B) 1988

  • C) 1992

  • D) 1985

Answer: C) 1992


12. What is one of the primary functions of SEBI in relation to securities markets?

  • A) Stock Trading

  • B) Market Regulation

  • C) Clearing and Settlement

  • D) Market Transparency

Answer: B) Market Regulation


13. Which role of SEBI involves overseeing the functioning of stock exchanges and other intermediaries?

  • A) Regulatory Oversight

  • B) Enforcement

  • C) Market Development

  • D) Investor Education

Answer: A) Regulatory Oversight


14. What statutory powers were granted to SEBI in 1992?

  • A) Oversight of stock exchanges

  • B) Power to formulate policies

  • C) Enforcement through inspections

  • D) Authority to protect investors' interests

Answer: D) Authority to protect investors' interests


15. When was the National Stock Exchange (NSE) established?

  • A) 1985

  • B) 1990

  • C) 1992

  • D) 1988

Answer: C) 1992


16. What trading system does the National Stock Exchange (NSE) operate on?

  • A) Manual trading system

  • B) Semi-automated trading system

  • C) Fully automated electronic trading system

  • D) Open-outcry trading system

Answer: C) Fully automated electronic trading system


17. Which function of the National Stock Exchange (NSE) ensures transparent and efficient clearing and settlement processes?

  • A) Stock Trading

  • B) Clearing and Settlement

  • C) Market Indices

  • D) Market Transparency

Answer: B) Clearing and Settlement


18. What market index is computed and disseminated by the National Stock Exchange (NSE)?

  • A) Sensex

  • B) Dow Jones

  • C) Nifty

  • D) Nikkei

Answer: C) Nifty


19. What are Non-Banking Financial Institutions (NBFCs), and how are they regulated?

  • A) They are banks under the legal definition and regulated by SEBI.

  • B) They are financial institutions without legal definitions of a bank, regulated by the Ministry of Finance.

  • C) They are part of nationalized banks regulated by the RBI.

  • D) They are investment firms regulated by the NSE.

Answer: B) They are financial institutions without legal definitions of a bank, regulated by the Ministry of Finance.


20. Which function is NOT typically performed by NBFCs?

  • A) Providing loans and advances

  • B) Engaging in investment activities

  • C) Offering wealth management and financial advisory services

  • D) Issuing currency notes

Answer: D) Issuing currency notes


21. What role do NBFCs play in the financial landscape of India?

  • A) Providing regulatory oversight

  • B) Specializing in transparent stock trading

  • C) Extending financial services to underserved segments

  • D) Facilitating monetary policy formulation

Answer: C) Extending financial services to underserved segments


22. Which law defines the roles and responsibilities of the Reserve Bank of India (RBI) and governs its establishment?

  • A) Foreign Exchange Management Act (FEMA), 1999

  • B) Banking Regulation Act, 1949

  • C) Reserve Bank of India Act, 1934

  • D) Payment and Settlement Systems and Security Act, 2007

Answer: C) Reserve Bank of India Act, 1934


23. What does the Banking Regulation Act, 1949, provide regulatory powers to the RBI over?

  • A) Nationalized banks

  • B) Cooperative banks

  • C) Non-Banking Financial Institutions (NBFCs)

  • D) Insurance companies

Answer: A) Nationalized banks




24. What do the Bank Nationalization Acts of 1969 and 1980 empower the government to do?

  • A) Regulate NBFCs

  • B) Regulate the NSE

  • C) Acquire ownership and control over certain banks

  • D) Formulate monetary policy

Answer: C) Acquire ownership and control over certain banks


25. Which Act governs the State Bank of India, the largest nationalized bank, and defines its constitution, powers, and functions?

  • A) Bank Nationalization Acts (1969 and 1980)

  • B) Banking Regulation Act, 1949

  • C) State Bank of India Act, 1955

  • D) Indian State Bank of India Act, 1934

Answer: C) State Bank of India Act, 1955




26. What does the SEBI Act, 1992, primarily achieve?

  • A) Establishes SEBI as the regulatory authority for the securities market

  • B) Governs the incorporation of stock exchanges

  • C) Regulates the functioning of NBFCs

  • D) Prescribes disclosure norms for listed entities

Answer: A) Establishes SEBI as the regulatory authority for the securities market





27. What is the purpose of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015?

  • A) Regulate NBFCs

  • B) Ensure transparency and accountability in the securities market

  • C) Govern the incorporation of stock exchanges

  • D) Provide prudential norms for securities contracts

Answer: B) Ensure transparency and accountability in the securities market




28. What do the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, specify?

  • A) Disclosure requirements for listed entities

  • B) Prudential norms for NBFCs

  • C) Regulatory oversight for SEBI

  • D) Legal framework for stock exchanges

Answer: A) Disclosure requirements for listed entities


29. Under the Reserve Bank of India Act, 1934, what authority does the RBI have regarding NBFCs?

  • A) Regulatory oversight

  • B) Governs incorporation of NBFCs

  • C) Supervision and regulation

  • D) Disclosure requirements

Answer: C) Supervision and regulation


30. How are NBFCs registered under the Companies Act, 2013?

  • A) As charitable organizations

  • B) As trusts

  • C) As societies

  • D) As companies

Answer: D) As companies


31. What do the Prudential Norms for NBFCs issued by the RBI aim to ensure?

  • A) Fair trade practices

  • B) Prudential standards in areas like capital adequacy and provisioning

  • C) Disclosure requirements

  • D) Regulatory compliance

Answer: B) Prudential standards in areas like capital adequacy and provisioning


32. What is the focus of the NBFC-MFIs (Non-Banking Financial Company - Micro Finance Institutions) Regulations, 2011?

  • A) Regulatory oversight

  • B) Ensuring transparency in NBFC-MFIs

  • C) Disclosure requirements

  • D) Prudential standards for microfinance activities

Answer: B) Ensuring transparency in NBFC-MFIs