MCQs - 2026-06

The primary objective of financial inclusion is to extend affordable and accessible financial services, including banking, credit, and insurance, to all segments of society, especially the unbanked and underserved, leveraging digital channels for wider reach.

A key focus of the strengthened NBFC framework is to enhance corporate governance, particularly by strengthening the role, independence, and effectiveness of the Board of Directors to ensure robust oversight.

The RBI introduced the Scale-Based Regulation (SBR) framework for NBFCs, which categorizes them into different layers based on their size, activity, and perceived risk, applying a calibrated regulatory approach.

The RBI's primary motivation for strengthening NBFC regulation is to address potential systemic risks that could arise from their interconnectedness and rapid growth, thereby safeguarding overall financial stability.

The RBI mandates the appointment of a Chief Information Security Officer (CISO) in banks to oversee and manage the cybersecurity posture, ensuring dedicated leadership for security initiatives.

A 'layered approach' in cybersecurity means implementing multiple, independent security controls at various levels (e.g., network, application, data) to provide defense-in-depth, making it harder for attackers to breach the system.

The primary objective of the RBI's enhanced cybersecurity framework is to safeguard customer data and financial transactions from the growing sophistication of cyber threats, ensuring the resilience of the banking system.

Digital tools like NMMS and ABPS are introduced to bring greater transparency, prevent leakages, and improve accountability in the implementation of MGNREGA.

ABPS aims to streamline wage payments by linking them directly to the worker's Aadhaar number, ensuring transparency and timely disbursement to beneficiaries.

The National Mobile Monitoring System (NMMS) App has been made mandatory for recording the attendance of MGNREGA workers at worksites.