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SBI PO General/Economy/Banking Awareness Syllabus

The General/Economy/Banking Awareness syllabus for SBI PO in full: 3 chapters and 9 topics, every one listed below, plus 50 General/Economy/Banking Awareness flashcards with answers.

3Chapters
9Topics
50Flashcards

General/Economy/Banking Awareness syllabus: all 3 chapters

Expand any chapter to see its topics and sub-topics.

  1. Current Affairs

     3 topics
    • National News
    • International News
    • Sports

  2. Banking Awareness

     3 topics
    • Banking Terms
    • Banking History
    • RBI Functions

  3. Economy

     3 topics
    • Budget and Fiscal Policy
    • Economic Terms
    • Inflation

SBI PO General/Economy/Banking Awareness flashcards — 50 questions with answers

  1. What is the full form of RBI, and in which year was it established?

    Reserve Bank of India; established on 1 April 1935 under the RBI Act, 1934.

  2. Who is the central bank of India and the regulator of the banking sector?

    The Reserve Bank of India (RBI).

  3. What is CRR (Cash Reserve Ratio)?

    The percentage of a bank's total deposits (NDTL) that it must keep as cash reserves with the RBI, earning no interest.

  4. What is SLR (Statutory Liquidity Ratio)?

    The minimum percentage of a bank's NDTL that it must maintain in liquid assets like cash, gold, or approved government securities.

  5. What is the Repo Rate?

    The interest rate at which the RBI lends short-term funds to commercial banks against government securities.

  6. What is the Reverse Repo Rate?

    The interest rate at which the RBI borrows funds from commercial banks, absorbing liquidity from the system.

  7. What is the Bank Rate?

    The rate at which the RBI lends long-term funds to commercial banks without any collateral/securities.

  8. What is the Marginal Standing Facility (MSF)?

    A window allowing banks to borrow overnight funds from the RBI against SLR securities, at a rate higher than the repo rate, during emergencies.

  9. Define inflation.

    A sustained rise in the general price level of goods and services over time, reducing the purchasing power of money.

  10. What is demand-pull inflation?

    Inflation caused when aggregate demand exceeds aggregate supply, pulling prices upward.

  11. What is cost-push inflation?

    Inflation caused by rising production costs (wages, raw materials), pushing prices upward despite stable demand.

  12. What is the difference between CPI and WPI?

    CPI (Consumer Price Index) measures retail price changes faced by consumers; WPI (Wholesale Price Index) measures wholesale/bulk price changes between businesses.

  13. Which inflation index does the RBI use for its monetary policy inflation target?

    The Consumer Price Index (CPI), with a target of 4% (+/- 2%).

  14. What is deflation?

    A sustained fall in the general price level of goods and services, increasing the purchasing power of money.

  15. What is stagflation?

    A condition of simultaneous high inflation, high unemployment, and stagnant economic growth.

  16. What body decides the policy interest rates (repo rate) in India?

    The Monetary Policy Committee (MPC), a six-member committee headed by the RBI Governor.

  17. What is the Union Budget?

    The annual financial statement of the Government of India showing estimated receipts and expenditures for a financial year, presented under Article 112 of the Constitution.

  18. What is a fiscal deficit?

    The excess of total government expenditure over total revenue (excluding borrowings) in a financial year; it indicates total borrowing needs.

  19. What is a revenue deficit?

    The excess of revenue expenditure over revenue receipts of the government.

  20. What is fiscal policy?

    Government use of taxation and public spending to influence the economy, managed by the Ministry of Finance.

Show the other 30 General/Economy/Banking Awareness flashcards

  1. What is the difference between direct and indirect taxes?

    Direct taxes (e.g., income tax) are paid directly by the person on whom levied; indirect taxes (e.g., GST) are collected by intermediaries from the final consumer.

  2. What is GST and when was it implemented in India?

    Goods and Services Tax, a unified indirect tax on supply of goods and services, implemented on 1 July 2017.

  3. What is GDP (Gross Domestic Product)?

    The total monetary value of all final goods and services produced within a country's borders in a specific period.

  4. What is the difference between fiscal year and the period it covers in India?

    India's financial year runs from 1 April to 31 March of the following year.

  5. What is NPA (Non-Performing Asset)?

    A loan or advance for which the principal or interest payment remains overdue for 90 days or more.

  6. What is the difference between a NEFT and an RTGS transaction?

    NEFT settles in batches (no minimum amount); RTGS settles transactions individually and instantly in real time, with a minimum of Rs 2 lakh.

  7. What does IMPS stand for and what is its key feature?

    Immediate Payment Service; enables instant, 24x7 interbank fund transfers via mobile, internet, or ATM.

  8. What is UPI?

    Unified Payments Interface, a real-time payment system by NPCI that links multiple bank accounts into a single mobile app for instant fund transfers.

  9. What organization operates UPI, RuPay, and IMPS in India?

    The National Payments Corporation of India (NPCI).

  10. What is a CASA ratio?

    The ratio of Current Account and Savings Account deposits to total deposits; a higher CASA means lower cost of funds for a bank.

  11. What is the difference between a Cheque and a Demand Draft?

    A cheque can be dishonoured due to insufficient funds and is issued by an account holder; a demand draft is prepaid, issued by a bank, and cannot bounce.

  12. What is KYC in banking?

    Know Your Customer; the mandatory process of verifying a customer's identity and address to prevent fraud and money laundering.

  13. What is the function of DICGC?

    The Deposit Insurance and Credit Guarantee Corporation insures bank deposits up to Rs 5 lakh per depositor per bank.

  14. What was the year of the first phase of bank nationalisation in India and how many banks were nationalised?

    1969; 14 major commercial banks were nationalised.

  15. When was the State Bank of India (SBI) established and from which bank was it formed?

    SBI was established on 1 July 1955 by converting the Imperial Bank of India.

  16. What is a NBFC?

    A Non-Banking Financial Company that provides banking-like services (loans, investments) but cannot accept demand deposits or issue cheques.

  17. What is the difference between a Bull market and a Bear market?

    A bull market is a period of rising share prices and optimism; a bear market is a period of falling prices and pessimism.

  18. What is the formula for the Money Multiplier?

    Money Multiplier = 1 / Cash Reserve Ratio (CRR); it shows how much the money supply expands per unit of reserves.

  19. What is priority sector lending (PSL)?

    RBI-mandated lending by banks to sectors like agriculture, MSMEs, education, and housing, set at 40% of Adjusted Net Bank Credit for domestic banks.

  20. What is the difference between a Repo and a Reverse Repo for the RBI?

    In a repo the RBI injects liquidity by lending to banks; in a reverse repo the RBI absorbs liquidity by borrowing from banks.

  21. What is the LAF (Liquidity Adjustment Facility)?

    An RBI tool to manage daily liquidity via repo and reverse repo operations with banks.

  22. What is a Treasury Bill?

    A short-term debt instrument issued by the Government of India with maturities of 91, 182, or 364 days, sold at a discount and redeemed at face value.

  23. What is a Mutual Fund?

    A pooled investment vehicle that collects money from many investors to invest in diversified securities, regulated by SEBI.

  24. What is the regulator of the securities market in India?

    The Securities and Exchange Board of India (SEBI), established in 1992.

  25. Define a fixed (term) deposit.

    A deposit held with a bank for a fixed tenure at a fixed interest rate, with penalties for premature withdrawal.

  26. What is the difference between a savings account and a current account?

    A savings account earns interest and has transaction limits; a current account is for frequent business transactions, typically earns no interest, and allows overdraft.

  27. What is microfinance?

    The provision of small loans and financial services to low-income individuals and small businesses who lack access to conventional banking.

  28. What is the Pradhan Mantri Jan Dhan Yojana (PMJDY)?

    A 2014 financial inclusion scheme to provide zero-balance bank accounts, RuPay debit cards, and insurance to the unbanked population.

  29. In sports, how many players are on the field per team in a standard cricket match?

    Eleven players per team.

  30. What is the highest civilian award given in India for distinguished service in any field?

    The Bharat Ratna.

SBI PO General/Economy/Banking Awareness FAQ

What is in the SBI PO General/Economy/Banking Awareness syllabus?

SBI PO General/Economy/Banking Awareness is split into 3 chapters: Current Affairs, Banking Awareness and Economy. Together they contain 9 topics.

How many chapters are in SBI PO General/Economy/Banking Awareness?

3 chapters, containing 9 topics. The largest chapter is Current Affairs, with 3 topics.

Are there flashcards for SBI PO General/Economy/Banking Awareness?

Yes — a 50-card General/Economy/Banking Awareness deck, printed in full in the flashcards section of this page and available in the Examius app with spaced repetition. The free plan covers one exam of your choice, including its flashcards; Examius Pro, a one-time purchase, unlocks every other exam and deck.