Banking Financial Awareness · General Awareness

Banking Institutions and History

1,351 Questions

Review crucial questions related to banking institutions, their histories, and recent financial events. This set covers bank mergers, taglines, and key regulatory changes by the Reserve Bank of India. It is highly relevant for aspirants of banking and insurance exams.

Bank taglinesBank mergersRBI regulationsFinancial institutions historyBanking licenses

Banking Institutions and History Questions

Multiple choice

Which of the following institutions is not an affiliate of the Reserve Bank of India?

  1. Deposit Insurance Corporation

  2. IDBI

  3. Unit Trust of India

  4. None of these
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Unit Trust of India (UTI) was established in 1964 under the Unit Trust of India Act and was not directly affiliated with the Reserve Bank of India. The Deposit Insurance Corporation and Credit Guarantee Corporation (DICGC) are RBI subsidiaries, while IDBI was initially under RBI before becoming autonomous.

Multiple choice

The financial institution which provides loans mostly in foreign currency is

  1. IDBI

  2. IFCI

  3. ICICI

  4. SFC
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

ICICI was established as a specialized financial institution to provide foreign currency loans and promote international financing. While IDBI (A) and IFCI (B) were development financial institutions, ICICI had a specific mandate for foreign currency operations. SFC (D) refers to State Financial Corporations which focused on state-level financing.

Multiple choice

NABARD was set up in 1982 on the recommendation of

  1. Narsimhan committee

  2. Balwant Rai committee

  3. Hazari committee

  4. Shivraman committee
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

NABARD (National Bank for Agriculture and Rural Development) was established in 1982 based on the recommendations of the Shivraman Committee. This committee was formed to review arrangements for institutional credit for agriculture and rural development. The other committees listed - Narsimhan (A), Balwant Rai (B), and Hazari (C) - dealt with different aspects of banking and finance.

Multiple choice

The no. of private banks operative in private sector in India is

  1. 30

  2. 31

  3. 32

  4. 33
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

This question appears to be from an older time period. The number of private sector banks has changed significantly since liberalization in the 1990s, with many new private banks receiving licenses. The answer of 31 may have been correct at a specific point in time but is not current.

Multiple choice

National housing bank is a venture controlled by

  1. RBI

  2. HDFC

  3. UTI

  4. ICCI
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

National Housing Bank (NHB) is owned and controlled by the Reserve Bank of India (RBI). It was established in 1988 to operate as a principal development finance institution for housing sector in India.

Multiple choice

New Bank of India was merged into

  1. Punjab and Sind Bank

  2. Punjab National Bank

  3. Bank of Baroda

  4. SBI
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

New Bank of India was merged with Punjab National Bank (PNB) in 1993 as part of banking sector consolidation. This merger was part of financial sector reforms to create stronger banking entities.

Multiple choice

Which of the following banks bought investment bank Merrill Lynch?

  1. Bank of America

  2. Axis Bank

  3. State Bank of India

  4. ICICI Bank
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Bank of America acquired Merrill Lynch in September 2008 during the financial crisis. The deal was worth approximately $50 billion and was brokered by the federal government to prevent Merrill Lynch's collapse. This was one of the major events of the 2008 financial crisis.

Multiple choice

Which bank boasts of an ad line Consistency! Compatiblity! Credibility?

  1. Oriental Bank Of Commerce

  2. Central Bank of India

  3. Union Bank of India

  4. State Bank of India
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

This is a specific knowledge question about bank advertising slogans. The tagline 'Consistency! Compatibility! Credibility!' is associated with Oriental Bank of Commerce's branding campaign.