UPSC 2016 › Indian Economy › Banking & Financial Sector

2 questions · 2016 · answers as per the UPSC key

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UPSC 2016 · Q43 · Indian Economy › Banking & Financial Sector · Save

What is/are the purpose/purposes of the 'Marginal Cost of Funds based Lending Rate (MCLR)' announced by RBI?

  1. These guidelines help improve the transparency in the methodology followed by banks for determining the interest rates on advances.
  2. These guidelines help ensure availability of bank credit at interest rates which are fair to the borrowers as well as the banks.

Select the correct answer using the code given below.

(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
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Answer: (c) Both 1 and 2
UPSC 2016 · Q56 · Indian Economy › Banking & Financial Sector · Save

With reference to 'Financial Stability and Development Council', consider the following statements :

  1. It is an organ of NITI Aayog.
  2. It is headed by the Union Finance Minister.
  3. It monitors macroprudential supervision of the economy.

Which of the statements given above is/are correct?

(a) 1 and 2 only
(b) 3 only
(c) 2 and 3 only
(d) 1, 2 and 3
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Answer: (c) 2 and 3 only