Get Details of most commonly asked Bank PO Exam Questions and Answers. Here we are giving most common Bank PO exam questions. But most of the students don’t know about these questions. So, we are providing Answers too for those questions in this article. In recent article we have provided details about Banking Terms And Definitions One Must Know. Today, we are providing most commonly given Bank PO Exam Questions and Answers. In future we will add more questions and their answers. Below are the most popular bank PO questions.
Most Common Bank PO Exam Questions
Here are list of some of the most important and most commonly used or asked Bank PO Exam Questions and Answers:
Cash Reserve Ratio (CRR):
Cash Reserve Ratio (CRR) is a specified minimum fraction of the total deposits of customers, which commercial banks have to hold as reserves either in cash or as deposits with the central bank. CRR is set according to the guidelines of the central bank of a country.
Statutory liquidity ratio (SLR): is the Indian government term for reserve requirement that the commercial banks in India required to maintain in the form of gold, cash or government approved securities before providing credit to the customers. Statutory Liquidity Ratio is determined and maintained by Reserve Bank of India in order to control the expansion of bank credit.
Suggested: Banking Terms And Definitions One Must Know
Repo Rate and Reverse Repo Rate:
Repo rate is the rate at which RBI lends to commercial banks generally against government securities. Reduction in Repo rate helps the commercial banks to get money at a cheaper rate and increase in Repo rate discourages the commercial banks to get money as the rate increases and becomes expensive.
Reverse Repo rate is the rate at which RBI borrows money from the commercial banks. The increase in the Repo rate will increase the cost of borrowing and lending of the banks which will discourage the public to borrow money and will encourage them to deposit. As the rates are high the availability of credit and demand decreases resulting to decrease in inflation. This increase in Repo Rate and Reverse Repo Rate is a symbol of tightening of the policy. Follow the Article for good results.
The above mentioned are some of the most important common Bank PO Questions. We hope this will help you some what in your exams or interview preparations for Bank Jobs. If you have any doubts relating to Bank Jobs & Bank Exams, ask us via comment box. Also Share this article to your friends, who are preparing for Bank Jobs.