Question 1

The microfinance movement in India has been initiated by
A)SIDBI
B)SBI
C)NABARD
D)RRBs

Accepted Answer

NABARD (National Bank for Agriculture and Rural Development) has played a pivotal role in initiating the microfinance movement in India by promoting Self Help Groups (SHGs) and linking them to banks, thereby facilitating microfinance services to the unbanked and underbanked sections of society.

Question 2

Prudential norms of the banks includes
A)IRAC norms
B)provisioning norms
C)CRAR norms
D)all of the above

Accepted Answer

Prudential norms for banks include IRAC (Income Recognition, Asset Classification) norms, provisioning norms, and CRAR (Capital to Risk-weighted Assets Ratio) norms, all of which are aimed at ensuring the financial health and stability of banks.

Question 3

All the scheduled banks are to extend…………% of the total credit to priority sector
A)18%
B)40%
C)32%
D)12%

Accepted Answer

Scheduled banks in many countries, including India, are required to extend 40% of their total credit to the priority sector. This mandate is aimed at ensuring that adequate credit is available to sectors of the economy that are considered important but might not get timely and adequate credit under normal bank lending practices.

Question 4

Education loan granted to indivisual for educational purposes upto rupess…… for
A)7 lakh
B)10 lakh
C)15 lakh
D)20 lakh

Accepted Answer

In India, education loans granted to individuals for educational purposes can go up to 10 lakh rupees for studies within India. For studies abroad, the amount can be higher, typically up to 20 lakh rupees or more, depending on the bank's policies.

Question 5

Housing loan granted to public indivisual upto rupees………….for construction of houses treated as priority sector advances
A)5 lakh
B)10 lakh
C)15 lakh
D)20 lakh

Accepted Answer

The answer of Housing loan granted to public indivisual upto...

Question 6

In microfinance the demand side constraints is
A)lack of awareness
B)distance from bank branch
C)unsuitable product
D)communication

Accepted Answer

Lack of awareness is a demand-side constraint in microfinance as it affects the potential clients' understanding and utilization of available financial services.

Quiz 1: Banking and Microfinance: Exploring Policies and Practices in India

The microfinance movement in India has been initiated by

Prudential norms of the banks includes

All the scheduled banks are to extend…………% of the total credit to priority sector

Education loan granted to indivisual for educational purposes upto rupess…… for

Housing loan granted to public indivisual upto rupees………….for construction of houses treated as priority sector advances

In microfinance the demand side constraints is