1. 1. First Governor of RBI was –
a) Hilton Young
b) Paul Samuelson
c) C.D.Deskmukh
d) O.A Smith
Ans. d) O.A Smith
2. At the time of nationalization who was the Governor of RBI-
a) O.A Smith
b) J.B Taylor
c) C.D. Deshmukh
d) K.C.Neogy
Ans. c) C.D. Deshmukh
3. The RBI was nationalized in the year –
a)1949
b)1956
c)1959
d)1947
Ans. a)1949
4. The general superintendence and director of the bank is entrusted to central board
of directors of –
a)10 members
b) 20 members
c) 25 members
d)30 members
Ans. b) 20 members
5. Paper currencies of our country are issued by RBI under –
a) Section- 22 of the RBI act -1934
b) Section- 24 of the RBI act -1934
c) Section- 28 of the RBI act -1934
d) None of these
Ans. a) Section- 22 of the RBI act -1934
6. One rupee currency notes bear the signature of -
a) PM
b) President of India
c) Governor of RBI
d) Finance Secretary of India
Ans. d) Finance Secretary of India
7. Ten rupees notes bear the signature of –
a) President
b) Finance Minister
c) Secretary of Ministry of finance

2. d) Governor of RBI
Ans. d) Governor of RBI
8. Which of the following is the banker of the banks –
a) IDBI
b) SBI
c) RBI
d)UTI
Ans. c) RBI
9. In which of the following banks one can’t open a personal account –
a) Co-Operative Banks
b) Commercial banks
c) Regional Rural Banks
d) RBI
Ans. d) RBI
10. Which of the following banks is the banker to the government –
a) SBI
b) SEBI
c) RBI
d) IRDA
Ans. c) RBI
11. Which of the followings are the function of RBI –
a) Regulation of currency and flowing of credit system
b) Maintaining exchange values of rupee
c) Formulating monetary policy of India
d) All of these
Ans. d) All of these
12. Credit rationing in India is done by –
a) SBI
b) LIC
c) UTI
d) RBI
Ans. d) RBI
13. The first bank of India was –
a) Bank of Hindusthan
b) Imperial Bank
c) Bank of Bengal
d) Oudh Commercial Bank
Ans. a) Bank of Hindusthan
14. The first Indian fully liability and managed bank was –
a) PNB

3. b) Traders Bank
c) SBI
d) 0 Presidency Bank of India
Ans. a) PNB
15. The rates at which the RBI extends credit to the commercial bank is called –
a) Bank Rate
b) Reverse Repo Rate
c)Interest Rate
d) None of these
Ans. a) Bank Rate
16. In which of the following is not the any element of monetary policy of RBI –
a) Bank rate
b) Open Market Operation
c) Public Expenditure
d) All of these
Ans. c) Public Expenditure
17. 100 rupees note bears the signature of –
a) Governor of RBI
b) PM
c) Finance Secretary of India
d) Chairman of Finance Commission
Ans. a) Governor of RBI
18. Which of the following is the last lender of the last resort of commercial bank-
a) SBI
b) Union Govt.
c) RBI
d) UTI
Ans. c) RBI
19. The RBI is agent of central government and of all state government except –
a) Bihar
b) Goa
c) Jammu and Kashmir
d) Mizoram
Ans. c) Jammu and Kashmir
20. Controller of credit of commercial banks in our country is –
a) RBI
b)SEBI
c) ICI
d)UTI
Ans. a) RBI

4. 21. The Banking Concept in India was first developed by –
a) British
b) French
c) Indian
d) None of these
Ans. a) British
22. The rate at which RBI gives short term credit to the commercial banks against
government securities with buy back provision is called –
a) Bank Rate
b) Repo Rate
c) Reverse repo rate
d) Interest rate
Ans. b) Repo Rate
23. The rate at which RBI takes loans from commercial banks is called –
a) Repo Rate
b) Reverse Repo Rate
c) Bank Rate
d) Interest Rate
Ans. b) Reverse Repo Rate
24. At present the Reverse Repo Rate of RBI is (As of 25th Nov) –
a) 8.25
b) 7.25
c) 7.50
d)8.50
Ans. d)8.50
25. Bank rate of RBI is also known as –
a) Interest Rate
b) Discount Rate
c) fed rate
d) bid rate
Ans. b) Discount Rate
26. Which of the following is not the any element of quantitative credit control policy
of RBI –
a) CRR
b) SLR
c) Selective credit control
d) open market operation.
Ans. c) Selective credit control
27. At present CRR of RBI is –
a) 6%
b) 7.5%

5. c) 8.5%
d) none of these
Ans. a) 6%
28. The limitation of CRR of RBI is –
a)3-10 %
b) 3-15%
c) 15-38%
d) 10-25%
Ans. b) 3-15%
29. The apex organization of Indian money market is –
a)SBI
b) SEBI
c) RBI
d) IRDA
Ans. c) RBI
30. If the cash reserve is lowered by RBI, what will be its effect on credit creation –
a) Decrease
b) Increase
c) No Change
d) None of these
Ans. b) Increase
31. The expansion of money supply of an economy depends on –
a) The policy of CRR
b) The bank rate policy
c) Open market operation
d) All of these
Ans. d) All of these
32. Among the following who are eligible to benefit from the Mahatma Gandhi
National Rural Employment Guarantee Act? –
a) Adult Members of only the scheduled caste and scheduled tribe holders
b) Adult of below poverty line household
c) Adult members of household of all backward community
d) adult members of any rural household
e) None of these
Ans. d) adult members of any rural household
33. Which of the following banks merged with Punjab national banks in 1993 –
a) New bank of India
b) Central Bank of India
c) Imperial Bank of India
d) Common bank of India
Ans. a) New bank of India

6. 34. A currency, the exchange values of which is expected to remain stable due to strong
performance by it’s economy. This currency is –
a) Soft Currency
b) Hot currency
c) Fiat currency
d) None of these (Hard Currency)
Ans. d) None of these (Hard Currency)
35. The Reserve Bank of India issues under the following note issue method? –
a) Proportional Reserve System
b) Minimum Reserve System
c) Maximum Reserve System
d) Fixed Fiduciary System
Ans. b) Minimum Reserve System
36. What is a Scheduled Bank? –
a) A bank having Rs 10 Crore deposits
b) A bank having Rs 100 Crore deposits
c) A bank having Rs 5 Crore deposits
d) A bank included in the second schedule of RBI act 1934.
Ans. d) A bank included in the second schedule of RBI act 1934.
37. How many languages are used on a Ten Rupee note? –
a) 2
b) 7
c) 10
d) 15
e) 16
Ans. d) 15
38. The place where bankers meet and settle their mutual claims and accounts is
known as –
a) Treasury
b) Clearing House
c) Dumping House
d) Collection centre
Ans. b) Clearing House
39. The largest Public sector bank in India –
a) SBI
b) PNB
c) RBI
d) ICICI
Ans. a) SBI
40. Which of the following is not the function of RBI –

7. a) Banker’s bank
b) Banker to public
c) custodian of foreign exchange
d) Bankers to Govt.
Ans. b) Banker to public
41. Who is responsible for the collection and publication of monetary and financial
information-
a) Finance Commission
b) Finance ministry
c) RBI
d) Auditor and Comptroller general of India
Ans. c) RBI
42. Which of the following regulatory authority to oversee the new issues, protect the
investment and investors, promote the development of Capital Market and regulate
the working of Stock Exchange –
a) UTI b) IRDA
c) RBI
d) SEBI
e) None of these
Ans. d) SEBI
43. After a long span of 22 years, RBI released Rs.1000/- currency note for circulation
in –
a) 2000
b) 2002
c) 2005
d) 2008
Ans. a) 2000
44. Regional Rural banks are working in all states of the country except –
a) Sikkim and Goa
b) Sikkim and Manipur
c) Manipur and Nagaland
d) Jammu and Kashmir
Ans. a) Sikkim and Goa
45. The National Housing Bank is a subsidiary of –
a) RBI
b) NABARD
c) IDBI
d) UTI
Ans. a) RBI
46. At present the ceiling of Foreign Direct Investment (FDI) in insurance sector in
India is –

8. a) 26%
b) 49%
c) 51%
d) 74%
Ans. a) 26%
47. Rs. 25 Paisa was ceased by the Govt of India on –
a) 30th june 2011
b) 30th July 2011
c) 1st January 2011
d) 1st July 2011
Ans. a) 30th june 2011
48. Initial Public Offering (IPO) is associated with –
a) RBI
b) Stock Exchange
c) IRDA
d) Indian Postal Service
Ans. b) Stock Exchange
49. The Basic regulatory authority for mutual funds and stock markets lies with the –
a) Government of India
b) Reserve Bank of India
c) Securities and Exchange Board of India (SEBI)
d) Stock Exchange
Ans. c) Securities and Exchange Board of India (SEBI)
50. Monetary policy Referes to the policy of –
a) Money Lenders
b) Government
c) Commercial Banks
d) RBI
Ans. d) RBI
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