Banking Awareness Quiz – Set 213(Priority Sector Lending)

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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. Which of the following categories under priority sector?
   A. Export Credit
   B. Agriculture
   C. Social Infrastructure
   D. Renewable Energy
   E. All of these
   
   Answer & Explanation

   E. All of these
   Explanation:
   Categories under priority sector – Export Credit, Renewable Energy, Agriculture and Renewable Energy.
   
   
2. Which of the following categories under priority sector?
   A. Micro, Small and Medium Enterprises
   B. Education
   C. Housing
   D. All of these
   E. None of these
   
   Answer & Explanation

   D. All of these
   Explanation:
   Categories under priority sector – Micro, Small and Medium Enterprises, Education and Housing.
   
   
3. Bank loans up to a limit of ______ per borrower for building social infrastructure under priority sector.
   A. Rs. 1 crore
   B. Rs. 2 crore
   C. Rs. 3 crore
   D. Rs. 5 crore
   E. None of these
   
   Answer & Explanation

   D. Rs. 5 crore
   Explanation:
   Bank loans up to a limit of Rs. 5 crore per borrower for building social infrastructure for activities namely schools, health care facilities, drinking water facilities and sanitation facilities
   
   
4. Bank loans up to a limit of _____ to borrowers for purposes like solar based power generators under priority sector.
   A. Rs. 10 crore
   B. Rs. 18 crore
   C. Rs. 15 crore
   D. Rs. 20 crore
   E. None of these
   
   Answer & Explanation

   C. Rs. 15 crore
   Explanation:
   Bank loans up to a limit of Rs.15 crore to borrowers for purposes like solar based power generators under priority sector lending.
   
   
5. For individual households, the loan limit is for renewable energy under priority sector ______ per borrower.
   A. Rs. 5 lakh
   B. Rs. 10 lakh
   C. Rs. 15 lakh
   D. Rs. 20 lakh
   E. None of these
   
   Answer & Explanation

   B. Rs. 10 lakh
   Explanation:
   For individual households, the loan limit is for renewable energy under priority sector Rs. 10 lakh per borrower.
   
   
6. Bank loans up to ____ per unit to Micro and Small Enterprises under priority sector.
   A. Rs. 1 crore
   B. Rs. 2 crore
   C. Rs. 3 crore
   D. Rs. 5 crore
   E. None of these
   
   Answer & Explanation

   D. Rs. 5 crore
   Explanation:
   Bank loans up to Rs. 5 crore per unit to Micro and Small Enterprises under priority sector.
   
   
7. Bank loans up to ____ per unit to Medium Enterprises under priority sector.
   A. Rs. 10 crore
   B. Rs. 18 crore
   C. Rs. 15 crore
   D. Rs. 20 crore
   E. None of these
   
   Answer & Explanation

   A. Rs. 10 crore
   Explanation:
   Bank loans up to Rs. 10 crore per unit to Medium Enterprises under priority sector.
   
   
8. Loans to individuals for educational purposes including vocational courses up to _______ irrespective of the sanctioned amount are eligible for classification under priority sector.
   A. Rs. 5 lakh
   B. Rs. 10 lakh
   C. Rs. 15 lakh
   D. Rs. 20 lakh
   E. None of these
   
   Answer & Explanation

   B. Rs. 10 lakh
   Explanation:
   Loans to individuals for educational purposes including vocational courses up to Rs.10 lakh irrespective of the sanctioned amount are eligible for classification under priority sector.
   
   
9. Loans to individuals up to ______ in metropolitan centres (with the population of ten lakh and above) under priority sector.
   A. Rs. 25 lakh
   B. Rs. 18 lakh
   C. Rs. 15 lakh
   D. Rs. 28 lakh
   E. None of these
   
   Answer & Explanation

   D. Rs. 28 lakh
   Explanation:
   Loans to individuals up to Rs. 28 lakh in metropolitan centres (with the population of ten lakh and above) under priority sector.
   
   
10. Loans up to _______ in other centres for purchase/construction of a dwelling unit per family under priority sector.
    A. Rs. 20 lakh
    B. Rs. 18 lakh
    C. Rs. 15 lakh
    D. Rs. 28 lakh
    E. None of these
    
    Answer & Explanation

    A. Rs. 20 lakh
    Explanation:
    Loans up to Rs. 20 lakh in other centres for purchase/construction of a dwelling unit per family under priority sector.