If you are preparing for the government exam, like Bank, SSC, Railway and other state government exams. RBI-related questions are always formatted and asked in the question papers. Mainly, RBI-related general Knowledge questions are asked in all banking, insurance exams in India.
There are a number of questions related to the RBI Bank, but of them, we have listed and selected those that are most expected to come in the question paper. From these RBI GK Qui,z you can find out the History, Functions and rights of the RBI.
Important GK Quiz on RBI
In our country, without taking the permission of the RBI, no one can start any financial service or company. There are very tough rules and regulations of the RBI, and from time to time, you hear that the penalties imposed on the banking sector are imposed by the RBI.
RBI does not support any kind of Financial fraud or misleading the customer, which is a very tough rules and regulations. To help the banking aspirants, we have brought the list of the most important RBI-related GK Questions that can help you in the financial and all upcoming banking exams.
GK Quiz on Reserve Bank of India
Question: When was the Reserve Bank of India established?
A) 1947
B) 1935
C) 1950
D) 1949
Answer: B) 1935
Question: In which year was RBI nationalized?
A) 1935
B) 1950
C) 1949
D) 1947
Answer: C) 1949
Question: Who was the first Governor of RBI?
A) C. D. Deshmukh
B) Sir Osborne Smith
C) R. Gandhi
D) Shaktikanta Das
Answer: B) Sir Osborne Smith
Question: RBI is the sole authority to issue currency notes in India except which denomination?
A) ₹10 note
B) One rupee note
C) ₹100 note
D) ₹500 note
Answer: B) One rupee note
Question: Where is the headquarters of RBI located?
A) Chennai
B) Delhi
C) Mumbai
D) Kolkata
Answer: C) Mumbai
Question: RBI was established under which Act?
A) RBI Act 1934
B) Banking Regulation Act, 1949
C) Reserve Bank of India Act, 1947
D) Money Control Act, 1935
Answer: A) RBI Act 1934
Question: What is the role of RBI as ‘Monetary Authority’?
A) Issue credit cards
B) Control money supply and inflation
C) Manage foreign trade
D) Collect taxes
Answer: B) Control money supply and inflation
Question: What is Cash Reserve Ratio (CRR)?
A) Ratio of liquid assets banks must maintain with RBI
B) Ratio of loans for priority sectors
C) Ratio of advances to deposits
D) Ratio of government bonds held by banks
Answer: A) Ratio of liquid assets banks must maintain with RBI
Question: What is Repo Rate?
A) Rate at which RBI lends money to banks against securities
B) Rate at which banks charge loan interest
C) Penalty rate for late payments
D) None of the above
Answer: A) Rate at which RBI lends money to banks against securities
Question: What is Reverse Repo Rate?
A) Rate at which banks borrow from RBI
B) Rate at which banks park surplus funds with RBI
C) Interest rate for deposits
D) Rate for foreign exchange transactions
Answer: B) Rate at which banks park surplus funds with RBI
Question: Which is NOT a function of RBI?
A) Issuer of currency
B) Banker to government
C) Regulator of financial markets
D) Collector of income tax
Answer: D) Collector of income tax
Question: What is Statutory Liquidity Ratio (SLR)?
A) Ratio of liquid assets banks must keep aside in forms of cash, gold, or govt securities
B) Ratio of deposits banks must insure
C) Reserve for foreign exchange
D) None of the above
Answer: A) Ratio of liquid assets banks must keep aside in forms of cash, gold, or govt securities
Question: What does MPC stand for in RBI context?
A) Monetary Policy Committee
B) Money Production Council
C) Monetary Protection Corporation
D) Money Policy Commission
Answer: A) Monetary Policy Committee
Question: RBI acts as banker to:
A) Corporates
B) Farmers
C) Central and State Governments
D) Foreign banks
Answer: C) Central and State Governments
Question: RBI manages Foreign Exchange reserves under which act?
A) Foreign Exchange Act, 1950
B) FEMA (Foreign Exchange Management Act), 1999
C) Exchange Control Act, 1949
D) RBI Regulation Act, 1995
Answer: B) FEMA (Foreign Exchange Management Act), 1999
Question: What is the Digital Rupee issued by RBI called?
A) e-Rupee
B) DigiCash
C) BharatCoin
D) Rupee Token
Answer: A) e-Rupee
Question: RBI as ‘Regulator of Banks’ does what?
A) Licenses banks
B) Inspects banks
C) Prescribes banking norms
D) All of the above
Answer: D) All of the above
Question: To control inflation, RBI uses:
A) Interest subsidy
B) Monetary policy tools (Repo, CRR, SLR)
C) Fiscal policy
D) Tax policy
Answer: B) Monetary policy tools (Repo, CRR, SLR)
Question: RBI started operations on:
A) 1 January 1935
B) 1 April 1935
C) 15 August 1947
D) 1 June 1949
Answer: B) 1 April 1935
Question: What is Open Market Operation (OMO) by RBI?
A) Buying and selling government securities
B) Operation of markets by banks
C) Trading in stock market
D) Bank working hours
Answer: A) Buying and selling government securities
Question: RBI’s currency and coin supply management department is called:
A) Currency Management Department
B) Banking Regulation Dept.
C) Currency Issue Department
D) Department of Finance
Answer: A) Currency Management Department
Question: “Lender of last resort” means RBI:
A) Lends to banks in distress
B) Lends to customers
C) Lends to government only
D) Lends to foreign banks
Answer: A) Lends to banks in distress
Question: After independence, RBI was also central bank for:
A) Bangladesh and Nepal
B) Burma and Pakistan
C) Sri Lanka and Bhutan
D) Afghanistan and Maldives
Answer: B) Burma and Pakistan
Question: How often does the Monetary Policy Committee (MPC) meet?
A) Monthly
B) Quarterly
C) Bi-annually
D) Annually
Answer: B) Quarterly
Question: Minimum paid-up capital for a new bank as per RBI is:
A) ₹50 crore
B) ₹100 crore
C) ₹500 crore
D) ₹1000 crore
Answer: C) ₹500 crore
Question: What is the Banking Ombudsman Scheme?
A) Mechanism for customer complaints
B) RBI’s supervisory committee
C) Employee grievance system
D) Policy-making body
Answer: A) Mechanism for customer complaints
Question: Who appoints the RBI Governor?
A) Parliament
B) President
C) Finance Minister
D) Prime Minister
Answer: B) President
Question: Which is NOT a monetary policy instrument of RBI?
A) Bank rate
B) Repo rate
C) Income tax rate
D) Cash Reserve Ratio (CRR)
Answer: C) Income tax rate
Question: RBI centralises transactions through which platform?
A) Core Banking Solution
B) e-Kuber
C) Digital Rupee Platform
D) SWIFT
Answer: B) e-Kuber
Question: Main objective of RBI monetary policy is:
A) Stable prices and growth
B) Increase government revenue
C) Reduce foreign investment
D) Control exports
Answer: A) Stable prices and growth