Banking & Finance MCQs

The RBI's expanded pilot, which includes UPI interoperability, is focused on the Retail version of the Central Bank Digital Currency (CBDC), known as Retail CBDC (rCBDC).

By integrating with UPI, the RBI aims to make the Central Bank Digital Currency (CBDC) more user-friendly and accessible, thereby promoting its adoption.

The expanded pilot of the e-Rupee now includes interoperability with UPI, allowing users to transact using both systems seamlessly.

The RBI closely monitors global economic and financial uncertainties, such as geopolitical events and international market volatility, when formulating its monetary policy, including the repo rate decision.

The Monetary Policy Committee (MPC) is mandated by the RBI Act, 1934, to determine the policy repo rate required to meet the inflation target while considering the objective of growth.

The RBI's Monetary Policy Committee (MPC) has decided to keep the policy repo rate unchanged at 6.50% in its recent meetings, citing global economic uncertainties.

For all borrower accounts with aggregate exposure of ₹5 crore and above, lenders are required to undertake a mandatory review within 30 days from the date of default, known as the 'Review Period'.

The RBI's framework emphasizes the Inter-Creditor Agreement (ICA) for resolution of stressed assets involving multiple lenders, ensuring a unified approach.

The primary objective of RBI's framework for stressed assets is to ensure early identification and timely resolution of stressed assets, promoting a robust credit culture.

The RBI has mandated the provision of a 'Key Fact Statement' (KFS) to the borrower before the execution of the loan contract for all digital lending products, ensuring transparency of loan terms.