Banking and Finance MCQs: RBI Policy and Regulations 2026

1.

Which of the following is likely to be a component of the RBI's new digital banking framework for rural areas?

A Mandatory use of cheque books for all transactions.

B Development of user-friendly mobile banking applications and digital payment solutions.

C Abolition of all forms of digital lending.

D Focusing solely on large corporate banking.

2.

What is a key objective of the new digital banking framework introduced by the RBI for rural areas?

A To reduce the number of physical bank branches.

B To promote the use of traditional banking methods.

C To increase the availability and accessibility of digital financial services.

D To restrict digital transactions to urban centers.

3.

The Reserve Bank of India (RBI) has introduced a new digital banking framework specifically aimed at enhancing financial inclusion in which sector?

A Urban Metropolitan Areas

B Rural Areas

C Tier-2 Cities

D Special Economic Zones (SEZs)

4.

The decision to maintain the repo rate at 6.5% in October 2026 was taken by which body of the Reserve Bank of India?

A Board of Directors

B Executive Committee

C Monetary Policy Committee (MPC)

D Financial Stability Board

5.

What is the primary objective of maintaining the repo rate at 6.5% by the RBI in October 2026, as per its policy review?

A To stimulate rapid economic growth by reducing borrowing costs.

B To control inflation and ensure price stability while supporting growth.

C To encourage foreign investment by offering higher returns.

D To reduce the government's fiscal deficit.

6.

In its October 2026 Monetary Policy Committee (MPC) meeting, the Reserve Bank of India (RBI) decided to maintain the repo rate at what percentage?

A 6.25%

B 6.50%

C 6.75%

D 7.00%

Banking & Finance MCQs - 2026-10-06