Banking Awareness Quiz – Set 192

Hello Aspirants,
Welcome to Banking Awareness Quiz in AffairsCloud.com. Here we are creating quiz covering important questions which are common for all the bank exams and other competitive exams.

1. “I” in IDF stands for ______
   A. Investment
   B. Interest
   C. Infrastructure
   D. Institution
   E. None of these
   
   Answer & Explanation

   C. Infrastructure
   Explanation:
   IDF – Infrastructure Debt Fund
   
   
2. If NBFC is a sponsor of IDF-MF then it should have been in existence for at least _____ years.
   A. 5
   B. 3
   C. 2
   D. 4
   E. All of these
   
   Answer & Explanation

   A. 5
   Explanation:
   If NBFC is a sponsor of IDF-MF then it should have been in existence for at least 5 years.
   
   
3. Sponsor IFCs would be allowed to contribute a maximum of ______ to the equity of the IDF-NBFCs with a minimum equity holding of ______ of the equity of IDF-NBFCs.
   A. 49% and 30%
   B. 29% and 30%
   C. 45% and 49%
   D. 29% and 49%
   E. None of these
   
   Answer & Explanation

   A. 49% and 30%
   Explanation:
   Sponsor IFCs would be allowed to contribute a maximum of 49% to the equity of the IDF-NBFCs with a minimum equity holding of 30% of the equity of IDF-NBFCs.
   
   
4. O in NOF stands for _____
   A. Original
   B. Owned
   C. Origin
   D. One
   E. None of these
   
   Answer & Explanation

   B. Owned
   Explanation:
   NOF – Net Owned Funds.
   
   
5. IDF-NBFC should have a minimum Net Owned Funds (NOF) of ______
   A. Rs. 100 crore
   B. Rs. 200 crore
   C. Rs. 300 crore
   D. Rs. 500 crore
   E. All of these
   
   Answer & Explanation

   C. Rs. 300 crore
   Explanation:
   IDF-NBFC should have a minimum Net Owned Funds (NOF) of Rs.300 crore
   
   
6. IDF-NBFC should have a Capital to Risk Weighted Assets (CRAR) of _____
   A. 10%
   B. 15%
   C. 20%
   D. 12%
   E. None of these
   
   Answer & Explanation

   B. 15%
   Explanation:
   IDF-NBFC should have a Capital to Risk Weighted Assets (CRAR) of 15%
   
   
7. IDF-NBFC should have a Net NPAs less than _____ of net advances.
   A. 5%
   B. 4%
   C. 3%
   D. 6%
   E. None of these
   
   Answer & Explanation

   C. 3%
   Explanation:
   IDF-NBFC should have a Net NPAs less than 3% of net advances.
   
   
8. IDF-NBFC should have been profitable in the last ______ years
   A. 2
   B. 4
   C. 3
   D. 5
   E. All of these
   
   Answer & Explanation

   C. 3
   Explanation:
   IDF-NBFC should have been profitable in the last 3 years
   
   
9. IDF-NBFC shall have at the minimum, a credit rating grade of ‘A’ by _____
   A. CRISIL
   B. FITCH
   C. CARE
   D. ICRA
   E. All of these
   
   Answer & Explanation

   E. All of these
   Explanation:
   IDF-NBFC shall have at the minimum, a credit rating grade of ‘A’ of CRISIL or equivalent rating issued by other accredited rating agencies such as FITCH, CARE, BRICKWORK and ICRA.
   
   
10. IDF-NBFCs will raise resources through issue of _______
    A. Rupee Denominated Bonds
    B. Dollar-denominated bonds
    C. SGBs
    D. Either (A) or (B)
    E. Either (C) or (B)
    
    Answer & Explanation

    D. Either (A) or (B)
    Explanation:
    IDF-NBFCs will raise resources through issue of either Rupee or Dollar-denominated bonds of minimum 5 year maturity.