SBI Clerk Main Banking Awareness Quiz: 24th July

Monetary policy refers to the policy of the central bank with regard to the use of monetary instruments under its control to achieve the goals specified in the Act. The Reserve Bank of India (RBI) is vested with the responsibility of conducting monetary policy.

The Communication Policy of Reserve Bank of India will be reviewed every year in June and will be placed before its Board, in its meeting held in July. Once approved by the Board, the policy will be placed on the RBI website in English, Hindi and 11 other regional languages.

RBI started with a Share Capital of Rs. 5 Crore, divided into shares of Rs. 100 each fully paid up.

The Reserve Bank of India releases information on areas relating to the economy, banking and the financial sector. Adequacy, stringent standards of quality and timeliness are the hallmarks of these information releases. Dissemination of information takes place through traditional and non-traditional channels such as press releases, notifications, publications - regular and occasional - advertisements in print and electronic media, posters in bank branches and also through participation in exhibitions.

Former economic affairs secretary Shaktikanta Das was named the 25th governor of the Reserve Bank of India (RBI) to succeed Urjit Patel, who quit abruptly amid a bitter dispute over the regulator’s autonomy.

In line with the cut in the interest rate on small savings, the government has lowered the interest rate on the General Provident Fund (GPF) by 10 basis points for the period starting July 1 and ending on September 30, 2019. This is at par with the Public Provident Fund (PPF), the small saving scheme with the longest maturity.

Asian Development Bank (ADB) has inked an agreement to invest USD 50 million in solar energy project developer Avaada Energy Pvt Ltd to help the company scale up rapidly. These government staff will now get 7.9 per cent interest on the contribution made during the July-September period.

State-run power giant National Thermal Power Corporation has inked a term-loan agreement with Canara Bank to raise Rs 2,000 crore, which would be used to part finance its capital expenditure. The loan has a door to door tenure of 15 years and will be utilised to part finance the capital expenditure of the NTPC.

The BSE has signed a memorandum of understanding (MoU) with HDFC Bank with an objective to strengthen the BSE Startups platform. The MoU has been signed to spread more awareness on the benefits of the listing of startups on this BSE startup platform.

In a bid to further improve the cash position of banks, RBI has tweaked Liquidity Coverage Ratio (LCR) norms to provide an additional 2% window to lenders. As per RBI Governor Shaktikanta Das, this move will harmonise the liquidity requirements of banks and release additional money for lending.

Karnataka Bank has entered into an MoU with Bharti AXA Life Insurance Company to distribute the latter’s life insurance products. The bank will be able to provide a wide choice of life insurance products to its customers across 836 branches, supported by the products of Bharti AXA Life Insurance Company.

The board of Lakshmi Vilas Bank (LVB) approved the merger of the private sector lender with Indiabulls Housing Finance (IBH) through a share swap deal. The merger will help Indiabulls get access to low-cost stable funds and entry into banking. Lakshmi Vilas Bank based in Chennai.

Emirates Islamic Bank has announced the launch of Chat Banking services for customers via WhatsApp, marking a global first in the Islamic banking sector. The bank’s customers will now able to conduct daily banking activities via WhatsApp in a seamless and hassle-free manner. The Headoffice of Emirates Islamic Bank is in Dubai.

The Reserve Bank of India came out with guidelines for banks to set up new currency chests, which include a minimum area of 1,500 square feet for strong room. The new chests should have a processing a capacity of 6.6 lakh pieces of banknotes per day. The currency chests should have CBL of Rs 1,000 crore, subject to ground realities and reasonable restrictions, at the discretion of the Reserve Bank.

RBL Bank has partnered with credit profiler CreditVidya to improve the lender’s customer experience. Through this partnership, the private sector lender will be able to gain significant insights into its customer base. By acquiring richer customer insights, RBL will be able to segment its customers better, offer them relevant credit products and build custom scorecards.