Economics › Banking Regulations

The term ‘Core Banking Solution’ is sometimes seen in the news. Which of the following statements best describes/describe this term?
1. It is a networking of a bank’s branches which enables customers to operate their accounts from any branch of the bank on its network regardless of where they open their accounts.
2. It is an effort to increase RBI’s control over commercial banks through computerization.
3. It is a detailed procedure by which a bank with huge non-performing assets is taken over by another bank.
Select the correct answer using the code given below.

Basel III Accord’ or simply ‘Basel III’ often seen in the news, seeks to

Consider the liquid assets :
1). Demand deposits with the banks
2). Time deposits with the banks
3). Saving deposits with the banks
4). Currency
The correct sequence of these assets in the decreasing order of liquidity is

Microfinance is the provision of financial services to people of low-income groups. This includes both the consumers and the self-employed. The service/services rendered under microfinance is/are: 1. Credit facilities 2. Savings facilities 3. Insurance facilities 4. Fund Transfer facilities

Why is the offering of “teaser loans” by commercial banks a cause of economic concern?
1. The teaser loans are considered to be an aspect of subprime lending and banks may be exposed to the risk of defaulters in future.
2. In India, the teaser loans are mostly given to inexperienced entrepreneurs to set up manufacturing or export units.

With reference to the institution of Banking Ombudsman in India, which one of the statement is not correct?

Consider the following pairs :
1. ABN Amro Bank :USA
2. Barclays Bank :UK
3. Kookmin Bank :Japan
Which of the above pairs is/are correctly matched ?