Banking & Finance MCQs

RBI mandated that all loan disbursals and repayments must be executed only between the bank accounts of the borrower and the Regulated Entity, bypassing any third-party pass-through accounts.

The Regulated Entity (RE) is responsible for ensuring that the KFS is provided to the borrower in a standardized format before the execution of the loan contract.

By promoting UPI globally, India aims to reduce dependency on foreign payment networks and promote its own digital payment infrastructure.

The expansion allows Indian travelers and diaspora to make payments using UPI at merchant outlets in European countries.

NIPL is the international arm of the National Payments Corporation of India (NPCI) tasked with taking UPI global.

The Regulated Entity (RE) remains fully accountable for all credit decisions, even if they are assisted by AI models.

RBI is concerned that 'black box' AI models might lead to discriminatory lending practices, hence the need for explainability.

The framework aims to mitigate risks associated with algorithmic bias and ensure that AI models used for credit scoring are transparent and explainable.

The Reserve Bank of India (RBI) is the sole authority responsible for issuing the Digital Rupee in India.

The RBI uses Distributed Ledger Technology (DLT) to manage the issuance and circulation of the Digital Rupee.