Banking & Finance MCQs: RBI, Digital Payments, NBFCs

1.

As part of the 2026 regulatory tightening, the RBI might have introduced stricter guidelines for NBFCs regarding their asset quality management. What would be a likely focus of these guidelines?

A Encouraging the classification of non-performing assets as performing.

B Strengthening provisioning norms for bad loans and improving loan recovery processes.

C Reducing the due diligence required for loan disbursals.

D Allowing higher leverage ratios for NBFCs.

2.

The RBI's tightened norms for NBFCs in 2026 likely include enhanced capital adequacy requirements. What is the purpose of such requirements?

A To allow NBFCs to take on more speculative investments.

B To ensure NBFCs have sufficient buffer to absorb potential losses.

C To reduce the regulatory oversight on NBFCs.

D To encourage NBFCs to operate with lower operational costs.

3.

In 2026, the Reserve Bank of India (RBI) has tightened its regulatory norms for Non-Banking Financial Companies (NBFCs). What is the primary objective behind these stricter norms?

A To encourage NBFCs to diversify into unrelated sectors.

B To ensure the overall financial stability of the economy and mitigate systemic risks.

C To reduce the number of NBFCs operating in the market.

D To increase the lending rates offered by NBFCs.

4.

The RBI's 2026 digital payment security framework likely includes provisions for enhanced customer protection. What is a probable measure under this provision?

A Mandatory disclosure of customer transaction history to third parties.

B Clearer communication on fraud reporting and resolution mechanisms.

C Reducing the availability of customer support channels.

D Introducing new charges for reporting fraudulent transactions.

5.

As part of the enhanced digital payment security framework introduced in 2026, the RBI has emphasized the importance of which of the following for payment system operators?

A Reducing the speed of transaction processing.

B Implementing robust risk management and cybersecurity practices.

C Limiting the types of digital payment methods offered.

D Increasing the reliance on manual verification processes.

6.

In 2026, the Reserve Bank of India (RBI) introduced a new framework to enhance digital payment security. Which of the following is a key objective of this framework?

A To reduce the number of UPI transactions.

B To strengthen security measures against evolving cyber threats and fraud.

C To mandate the use of only physical payment methods.

D To increase transaction fees for digital payments.

7.

The 'Kisan Samriddhi Yojana' is expected to leverage which existing financial instrument to ensure efficient and widespread disbursement of credit to farmers?

A Corporate bonds market

B Kisan Credit Card (KCC) system

C Urban cooperative banks for housing loans

D Foreign direct investment (FDI) channels

8.

A key feature of the 'Kisan Samriddhi Yojana' designed to alleviate the financial burden on small and marginal farmers is likely to be:

A Mandatory crop diversification for all beneficiaries.

B Subsidized interest rates on agricultural loans and timely repayment incentives.

C Direct cash transfers for the purchase of non-agricultural land.

D Provision of free electricity for all irrigation purposes without any limits.

9.

What is the core objective of the recently announced 'Kisan Samriddhi Yojana', an agricultural credit scheme?

A Providing free agricultural machinery to all farmers.

B Enhancing access to affordable institutional credit for farmers to boost agricultural productivity.

C Promoting organic farming exclusively across all states.

D Establishing new agricultural universities and research centers.

10.

Beyond basic internet access, 'Digital India 2.0' for rural connectivity is likely to emphasize the expansion of which key service delivery points in villages?

A Exclusive luxury resorts

B Large-scale industrial manufacturing units

C Common Service Centres (CSCs) and digital literacy programs

D High-speed rail networks

MCQs 2026