Banking general awareness questions - 1600+ MCQs with Answers

Prepare for Banking MCQ with 1600+ General Knowledge multiple-choice questions. Each question includes answer and detailed explanation. 40 questions per page, total 40+ pages.

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📚 Banking awareness topics - GK MCQs (1600+ Questions with Explanations)

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Access 1600+ MCQ series covering Indian Economy, History, Polity, Banking Awareness. Each question includes answer and detailed explanation.

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Banking General Awareness – Complete Study Guide

Introduction – Banking General Awareness is one of the most important sections in banking exams such as IBPS PO, SBI PO, RBI Assistant, NABARD, SSC, Insurance Exams. This section tests a candidate’s understanding of banking systems, financial institutions, current financial developments, economic terms, and general financial knowledge.

1. History of Banking in India

Ancient Banking System: Merchants and money lenders provided loans. Indigenous bankers were called Sahukars and Seths.

YearEvent
1770Bank of Hindustan established
1806Bank of Bengal established
1921Imperial Bank of India formed
1935Reserve Bank of India established
1955State Bank of India established
196914 major banks nationalized
19806 more banks nationalized

2. Reserve Bank of India (RBI)

Established on 1 April 1935, nationalized in 1949. Headquarters: Mumbai. Functions: Banker’s Bank, Banker to Government, Controller of Credit, Currency Issuer, Custodian of Foreign Exchange, Monetary Authority.

3. Monetary Policy Tools

4. Types of Banks & Accounts

Commercial Banks (Public/Private/Foreign), Cooperative Banks, RRBs, Small Finance Banks, Payments Banks. Account types: Savings, Current, Fixed Deposit (FD), Recurring Deposit (RD).

5. Digital Banking

UPI, NEFT, RTGS, IMPS, AEPS, Mobile Banking, Internet Banking.

6. Important Banking Terms & Abbreviations

NPA – Non-Performing Asset
EMI – Equated Monthly Installment
IFSC – Indian Financial System Code
MICR – Magnetic Ink Character Recognition
SWIFT – International transfer system
CASA – Current Account Savings Account
KYC – Know Your Customer
GDP – Gross Domestic Product

7. Financial Institutions

NABARD – Agriculture & Rural Development | SIDBI – MSMEs | EXIM Bank – Foreign trade | NHB – Housing finance | SEBI – Stock market regulator | IRDAI – Insurance regulator

8. Government Schemes

9. Basel Norms

Basel I (Capital adequacy), Basel II (Risk management), Basel III (Liquidity & safety).

10. Important Committees

Narasimham Committee (Banking reforms), Urjit Patel Committee (Monetary policy), Malegam Committee (Microfinance), Nayak Committee (MSME credit).

11. Banking Ombudsman & Priority Sector Lending

Ombudsman: Grievance redressal. Priority sectors: Agriculture, MSME, Education, Housing, Renewable Energy.

12. Preparation Strategy & One-Liner Questions

RBI HQ: Mumbai | Banking Regulation Act: 1949 | Currency issued by RBI except: ₹1 note | India’s largest public sector bank: SBI

📌 Frequently Asked Banking Questions (Interview & Exam)

What is Banking?
Banking is the business of accepting deposits and providing loans.
What is Inflation?
A continuous rise in prices of goods and services.
What is CRR?
Cash Reserve Ratio – portion of deposits banks keep with RBI.
What is Repo Rate?
Rate at which RBI lends money to commercial banks.
Difference between NEFT and RTGS?
NEFT: Batch settlement. RTGS: Real-time settlement for large transactions.

Complete Banking Awareness guide – Master these concepts for RBI, SBI, IBPS, and other competitive exams.

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