Money and Banking (Part 1) One Liner Questions & Answers Questions Answers
1 What was the purpose of Inter-Creditor Agreement signed by Indian banks and financial institutions recently? To aim at faster resolution of stressed assets of Rs. 50 crore or more which are-under consortium lending
2 Which committee has been constituted by the Government of India to boost cashless transactions? Neeraj Kumar Gupta Committee
3 Which is the most likely consequence of implementing the ‘Unified Payments Interface (UPI)’? Mobile wallets will not be necessary for online payments
4 What is the money multiplier of India? Broad Money Reserve Money
5 What is black money? It is an illegal income upon which income tax is not paid
6 Which effects of creation of black money in India has been the main cause of worry to the Government of India? Loss of revenue to the State Exchequer due to tax evasion
7 Paper currency was first started in India in – 1862
8 When did the ‘Naya paisa’ introduced with the decimal system of coinage become, paisa? June 1, 1964
9 In India, the decimal coinage system was introduced in the year – April 1, 1957
10 In India ‘Currency Notes issue system’ is based on – Minimum reserve system
11 Who is authorized to issue coins in India? Ministry of Finance
12 Where do coins are minted in India? Mumbai, Noida, Kolkata, and Hyderabad
13 Mumbai, Noida, Kolkata, and Hyderabad – Higher prices
14 Due to inflation – Prices of goods increase & The value of money falls
15 A zero rate of inflation obtains necessarily in a year where the annual rate of inflation – Both falling and rising in a year
16 A rapid increase in the rate of inflation is sometimes attributed to the ‘base effect’. What is ‘base effect’?
It is the impact of the price levels of previous year on the calculation of inflation rate
17 Core inflation is defined as – Headline inflation excluding both food inflation and fuel inflation.
18 The most common measure of estimating inflation in India is – Consumer Price Index(CPI)
19 Headline inflation refers to the change in value of all goods on the basket. On which basis is the headline inflation measured? Consumer Price Index-Combined (CPI-C)
20 Which brings out the ‘Consumer Price Index Number for Industrial Workers’? The Labour Bureau
21 Which price index is used to compensate the wages of Central Government employees? Consumer Price Index for Industrial Workers(CPI – IW)
22 The basis of determining dearness allowances to employees of India is – Consumer Price Index
23 Which Institution/Office bring out the Wholesale Price Index (WPI) data in India? The Ministry of Commerce and Industry
24 Producer Price Index measures – The average change in the prices of produced goods and services
25 In India, the first Bank of Limited Liability managed by Indians and founded in 1881 was – Oudh Commercial Bank or Awadh Commercial Bank
26 The Government of India has nationalized 14 banks of the country in – 19 July 1969
27 When was the State Bank of India established? 1 July 1955
28 The largest public sector commercial bank of India is the – State Bank of India(SBI)
29 Which commercial banks of India comes in top 100 global banks? State Bank of India(SBI)
30 The Chairman of public sector banks are selected by the – Banks Board Bureau
31 Which bank became the first bank to open its branch in China? State Bank of India
32 Which Private Bank for the first time set up its branch in China? Axis Bank
33 Which Indian commercial bank started the first ever moving ATM Services? ICICI