Banking Awareness Quiz – Set 75

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. ECGC Limited (Export Credit Guarantee Corporation of India Ltd) is a company wholly owned by?
   A. RBI
   B. Government Of India
   C. IRDAI
   D. NABARD
   
   Answer & Explanation

   B. Government Of India
   Explanation:
   ECGC Ltd. (Export Credit Guarantee Corporation of India Ltd.), wholly owned by Government of India, was set up in 1957 with the objective of promoting exports from the country by providing Credit Risk Insurance and related services for exports. It functions under the administrative control of Ministry of Commerce & Industry, and is managed by a Board of Directors comprising representatives of the Government, Reserve Bank of India, banking, and insurance and exporting community.
   
   
2. National Housing Bank (NHB), a wholly owned subsidiary of _________
   A. RBI
   B. Government Of India
   C. IRDAI
   D. State Government
   
   Answer & Explanation

   A. RBI
   Explanation:
   National Housing Bank (NHB) is an apex level institution for housing. NHB was set up on July 9, 1988 under the National Housing Bank Act, 1987. NHB is wholly owned by Reserve Bank of India, which contributed the entire paid-up capital.
   
   
3. As per the Exim Bank Act, at a particular point in time, the Exim Bank can have a maximum of _________ directors on its Board.
   A. 16
   B. 15
   C. 14
   D. 13
   
   Answer & Explanation

   A. 16
   Explanation:
   As per the Exim Bank Act, at a particular point in time, the Bank can have a maximum of 16 directors on its Board.
   Including Chairman and Managing Director, the Bank’s Board constitutes of 13 directors who are appointed by the GOI, they are five top level Government of India functionaries, three directors from scheduled commercial banks and four directors who are industry/trade experts. Three other directors are nominated by the Reserve Bank of India (RBI), Industrial Development Bank of India (IDBI) and ECGC Ltd respectively.
   
   
4. Which of the following holds majority stake in NABARD?
   A. RBI
   B. Government Of India
   C. IRDAI
   D. None of the Above
   
   Answer & Explanation

   B. Government Of India
   Explanation:
   National Bank for Agriculture and Rural Development (NABARD) is an apex development bank in India, having headquarters in Mumbai, Maharashtra. RBI sold its stake in NABARD to the Government of India, which now holds 99% stake.
   
   
5. Currently Small Industries Development Bank of India(SIDBI) is a wholly owned subsidiary of _______
   A. RBI
   B. IDBI
   C. 34 Government of India owned / controlled institutions
   D. None of the Above
   
   Answer & Explanation

   C. 34 Government of India owned / controlled institutions
   Explanation:
   Small Industries Development Bank of India(SIDBI) was incorporated initially as a wholly owned subsidiary of Industrial Development Bank of India. Currently the ownership is held by 34 Government of India owned / controlled institutions.
   
   
6. Which of the following is/are an entity founded by SIDBI?
   A. Credit Guarantee Fund Trust for Micro and Small Enterprises
   B. SIDBI Venture Capital Ltd
   C. ISARC
   D. All of the Above
   
   Answer & Explanation

   D. All of the Above
   Explanation:
   Credit Guarantee Fund Trust for Micro and Small Enterprises – provides collateral-free loans extended to SME.
   SIDBI Venture Capital Ltd – a venture capital company focussed at SME.
   SME Rating Agency of India Ltd – provides composite ratings to SME.
   ISARC – India SME Asset Reconstruction Company.
   
   
7. Micro Units Development and Refinance Agency(MUDRA) Bank has been headquartered in _______
   A. Mumbai
   B. Bangalore
   C. New Delhi
   D. Hyderabad
   
   Answer & Explanation

   C. New Delhi
   Explanation:
   Micro Units Development and Refinance Agency Bank (or MUDRA Bank) is a public sector financial institution has been headquartered in New Delhi. It provides loans at low rates to micro-finance institutions and non-banking financial institutions which then provide credit to MSMEs. It was launched by Prime Minister Narendra Modi.
   
   
8. Deposit Insurance and Credit Guarantee Corporation ( DICGC) is a subsidiary of ________
   A. RBI
   B. IDBI
   C. 34 Government of India owned / controlled institutions
   D. None of the Above
   
   Answer & Explanation

   A. RBI
   Explanation:
   Deposit Insurance and Credit Guarantee Corporation ( DICGC) is a subsidiary of Reserve Bank of India.
   It was established under Deposit Insurance and Credit Guarantee Corporation Act, 1961 for the purpose of providing insurance of deposits and guaranteeing of credit facilities. DICGC insures all bank deposits, such as saving, fixed, current, recurring deposits for up to the limit of Rs. 100,000 of each deposits in a bank.
   
   
9. The Regional Rural Banks were owned by _________
   A. Central Government
   B. State Government
   C. Sponsor Banks
   D. All of the Above
   
   Answer & Explanation

   D. All of the Above
   Explanation:
   The Regional Rural Banks were owned by the Central Government, the State Government and the Sponsor Bank.
   Central Government-50%
   State Government- 15%
   Sponsor Banks- 35%.
   
   
10. Which of the following holds majority stake in RRBs?
    A. Central Government
    B. State Government
    C. Sponsor Banks
    D. All of the Above
    
    Answer & Explanation

    A. Central Government
    Explanation:
    The Regional Rural Banks were owned by the Central Government, the State Government and the Sponsor Bank.
    Central Government-50%
    State Government- 15%
    Sponsor Banks- 35%.