Banking & Finance MCQs

The expanded program aims to raise more capital for green projects and improve the transparency of project selection, allocation, and impact reporting.

Sustainable water management is one of the key eligible green project categories for funding through Sovereign Green Bonds 2.0.

The Ministry of Finance, Government of India, is responsible for the issuance of sovereign debt instruments, including Sovereign Green Bonds.

Sovereign Green Bonds are debt instruments issued by governments to raise funds exclusively for projects that have positive environmental benefits.

By strengthening their financial health and risk management, NBFCs are likely to gain improved investor confidence and better access to funding in the long run.

The enhanced liquidity management standards are designed to ensure that NBFCs have sufficient liquid assets to meet their immediate financial obligations, especially during times of financial turmoil.

The capital requirements are now differentiated based on the asset size and the inherent risk associated with the operations of different NBFCs.

The revised norms focus on strengthening NBFCs' financial health through updated capital adequacy requirements and stricter provisioning for non-performing assets (NPAs).

The Reserve Bank of India (RBI) is the primary regulator for NBFCs in India and has introduced the new prudential norms.

Ensuring that all segments of the population, especially the elderly and those in remote areas, are digitally literate remains a key challenge for widespread digital payment adoption.