International finance & institutions - Banking awareness questions on current affairs

1)   On which day the New Development Bank (NDB) floated by the BRICS nations, including India started its operations at its headquarters in Shanghai?
- Published on 08 Sep 15

a. 20th July’15
b. 1st July’15
c. 21st July’15
d. 19th July’15
Answer  Explanation  Related Ques

ANSWER: 21st July’15

Explanation:
Chinese Finance Minister Lou Jiwei, Shanghai Mayor Yang Xiong and the bank's President K V Kamath attended the opening ceremony. Kamath will be the bank's President for the first five years.

NDB was step up for infrastructure funding in the emerging economies formally


2)   Which of the following is the correct definition of Hot Money?
- Published on 20 Jul 15

a. This is the fund which is dumped into a country to get the advantage of a favourable interest rate
b. This is the fund which is provided by a bank in US $ at very short notice and at a very high rate of interest and for a longer period of repayment
c. This is the fund which is pushed into market through illegal methods
d. None of the above
Answer  Explanation  Related Ques

ANSWER: This is the fund which is dumped into a country to get the advantage of a favourable interest rate

Explanation:
It can move in and out of the market very quickly leading to market instability.


3)   Where is the Bank of International Settlement headquartered?
- Published on 20 Jul 15

a. Belgium
b. France
c. Germany
d. Switzerland
Answer  Explanation  Related Ques

ANSWER: Switzerland

Explanation:
The Bank of International Settlement (BIS) was established on May 17, 1930.


4)   Which one of the following is the special drawing right given by the International Monetary Fund to its member countries?
- Published on 20 Jul 15

a. Cold money
b. Hot money
c. Paper gold
d. None of these
Answer  Explanation  Related Ques

ANSWER: Paper gold

Explanation:
It is an accounting entry. It is used only among governments and IMF for balance of payment settlements.


5)   Which one of the following does not belong to regulatory bodies in India?
- Published on 20 Jul 15

a. FMC
b. IRDA
c. PFRDA
d. SEBI
Answer  Explanation 

ANSWER: SEBI

Explanation:
Reserve Bank of India, Insurance Regulatory and Development Authority, Forward Market Commission India, Pension Fund Regulatory and Development Authority are the regulatory bodies in India.


6)   When was the Export Credit Guarantee Corporation of India established?
- Published on 20 Jul 15

a. 1938
b. 1957
c. 1973
d. 1971
Answer  Explanation 

ANSWER: 1957

Explanation:
On 30 July 1957, Export Credit Guarantee Corporation of India Ltd. ( ECGC ) was established. It provides export credit insurance facilities to exporters and banks in India. It functions under the administrative control of Ministry of Commerce & Industry.


7)   When was the Indian Mercantile Insurance established?
- Published on 20 Jul 15

a. 1907
b. 1938
c. 1957
d. 1973
Answer  Explanation 

ANSWER: 1907

Explanation:
The first company to transact all classes of general insurance business was the Indian Mercantile Insurance.


8)   When was Life Insurance sector nationalised?
- Published on 20 Jul 15

a. 1834
b. 1907
c. 1938
d. 1956
Answer  Explanation 

ANSWER: 1956

Explanation:
Life Insurance Corporation came into existence in 1956.


9)   Which of the following is the Federal regulatory agency that charters and supervises Federal credit unions?
- Published on 20 Jul 15

a. AIRCSC
b. ARC
c. CAG
d. NCUA
Answer  Explanation 

ANSWER: NCUA

Explanation:
NCUA stands for National Credit Union Administration.


10)   What is the full form of LIBOR?
- Published on 20 Jul 15

a. Local Indian Bank Offered Rate
b. London-India Bureau Of Regulations
c. Liberal International Bank Official Ratio
d. London Inter Bank Offered Rate
Answer  Explanation  Related Ques

ANSWER: London Inter Bank Offered Rate

Explanation:
The London Inter Bank Offered Rate is the average interest rate estimated by leading banks in London.


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