Banking & Finance MCQs - 2026-10-13

The primary objective of enhanced digital banking security guidelines is to safeguard customers and financial institutions from cyber threats, data breaches, and various forms of financial fraud prevalent in the digital space.

Multi-factor authentication (MFA) is a critical security measure that requires users to provide two or more verification factors to gain access to a resource. The RBI's guidelines are expected to mandate MFA for enhanced digital security.

The new guidelines issued by the RBI in October 2026 emphasize enhancing customer authentication processes and ensuring robust security measures for digital transactions to protect against fraud.

The RBI's Monetary Policy Committee aims to achieve the inflation target while ensuring that its actions support economic growth. Maintaining the repo rate is a tool to achieve this balance.

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 keeping in mind the objective of growth.

In its October 2026 policy review, the Reserve Bank of India's Monetary Policy Committee decided to keep the policy repo rate unchanged at 6.5%.