⚠️ Content Protected
Join our Telegram for PDF: t.me/BankPromotionExamGuide
Financial Stability Report June 2026 ⏳ Published: Sep 2026 | 🎯 40 MCQs
⚠️ Select an answer!
In the context of Indian equity performance and ownership, consider the following set of statements:
1. As of March 2026, the ownership share of Domestic Institutional Investors (DIIs) stood at 15.8%, exceeding that of Foreign Portfolio Investors (FPIs).
2. Valuation losses in FPIs Assets under Custody (AUC) accounted for roughly 65% of the overall decline in FPI AUC between December 2025 and May 2026.
3. China has a higher country-wise equity allocation than Taiwan and South Korea in the basket of emerging markets.
Select the correct answer using the code given below:
Explanation:
Correct: D
Direct Answer: 2
▶ Watch Video Explanation
In the context of foreign exchange market trends, consider the following statements:
1. The deprecation of Indian Rupee (INR) during the Taper Tantrum episode (2013) exceeded its depreciation during the Global Financial Crisis (2008-09).
2. Thailand, Indonesia, and India experienced currency depreciation between April 2025 and June 2026.
3. The Exchange Market Pressure Index (EMPI) considers only two factors: change in exchange rate and change in foreign currency assets.
Select the correct answer using the code given below:
Explanation:
Correct: C
Direct Answer: 3
▶ Watch Video Explanation
According to the FSR-June 2026, how many entities formed the innermost core of the Indian Banking System (SCBs+UCBs) in March 2026 ?
Explanation:
Correct: B
Direct Answer: 5
▶ Watch Video Explanation
In the insurance sector, what trend signals a structural risk, as India’s ageing population increases?
Explanation:
Correct: C
Direct Answer: Declining trend in P&G funds of top life insurers
▶ Watch Video Explanation
Since 2021-22 what has been the general trend of total reported grievances for Life Insurers and General insurers?
Explanation:
Correct: A
Direct Answer: Has fallen for Life Insurers and increased for General Insurers
▶ Watch Video Explanation
What component of total borrowing increased for both NBFC-ML and NBFC-UL?
Explanation:
Correct: D
Direct Answer: Borrowing from Banks
▶ Watch Video Explanation
What was the common thread in the two hypothetical adverse scenarios of the macro stress tests of FSR June 2026?
Explanation:
Correct: C
Direct Answer: Geopolitical Risk
▶ Watch Video Explanation
In the credit risk sensitivity analysis for SCBs, how many banks failed to meet the regulatory minimum CRAR under Shock 2?
Explanation:
Correct: C
Direct Answer: 4
▶ Watch Video Explanation
According to the equity price risk sensitivity analysis for SCBs, what percentage decline in equity prices are assumed under the shock scenarios?
Explanation:
Correct: D
Direct Answer: 25, 35, 55
▶ Watch Video Explanation
What is the reduction in CRAR under the severe stress scenario in the credit risk sensitivity analysis for SFBs?
Explanation:
Correct: B
Direct Answer: 170 bps
▶ Watch Video Explanation
According to the derivatives portfolio stress test, what does the increased potential loss from rupee appreciation indicate? (Page 80, Para 2.43)
According to the derivatives portfolio stress test, which category of banks maintained a predominantly net positive mark-to-market (MTM) position as a proportion of CET1 capital?
Which of following is true for Network Analysis.
1. NBFCs are the largest net borrowers of funds from the system
2. HFCs are the second largest net borrowers of funds from the system
Which of the following group has highest total bilateral exposure (as a percent of its total financial assets) to SCBs
Macro Stress Tests attempt to project banks’ capital ratios under a baseline scenario and two adverse macroeconomic scenarios over a two-year horizon. In this context,
which of the following statements is correct?
What is the key distinction between Adverse Scenario 1 and Adverse Scenario 2 in the June 2026 macro stress test?
In connection with the macro stress test of SCBs,
which of the following statements correctly describes the findings at the end of the stress horizon under the two adverse scenarios?
Which of the following patterns across UCB tiers is consistent with the severe stress-test results?
In the context of liquidity risk management for open-ended debt schemes,
which of the following correctly pairs the definitions of LR-RaR and LR-CRaR?
The report notes that the market value of investments subject to fair value increased from ₹22.8 lakh crore to ₹24.1 lakh crore. Which development would pose the greatest interest rate risk to these portfolios?
Which statement regarding the interest-rate risk analysis is most accurate?
Between March 2014 and March 2026, how did the composition of commercial banks' housing loan portfolios shift in terms of credit limits?
According to score mitigation for risk categories of personal loans, what were the score tier upgrade and downgrade rates for Near Prime and Super Prime personal loan borrowers, respectively, from March 2025 to March 2026?
What was the Compound Annual Growth Rate (CAGR) of gold loans between March 2024 and March 2026 relative to overall non-housing retail loans?
What notable trend was observed among sub-prime borrowers holding both personal loans and gold loans in March 2026?
In Box 1.2, which two income cohorts and risk tiers dominated unsecured personal loan originations, accounting for nearly three-fourths of total originations?
What proportion of total household debt was accounted for by non-housing retail loans as of end-March 2026, and what was its position relative to housing, agriculture, and business loans?
As of March 2026, how did Public Sector Banks (PSBs) compare to Private Sector Banks (PVBs) in terms of consumer credit growth and GNPA ratios?
As of end-March 2026, what percentage of total household borrowing was allocated specifically for consumption purposes?
RBI supplied durable liquidity through several measures during April 2025 – April 2026 which include(s) :
With respect to money market rates ,
Which of the following statements is correct regarding demand for G-secs .
In respect of Corporate bonds,
select the correct statement
Select the correct statement.
Select the correct statement
According to the fully phased-in final Basel III framework outlined by the Basel Committee on Banking Supervision (BCBS),
what is the target calibration percentage for the 'output floor' of banks' capital to be reached by January 2028?
Under DICGC's Risk-Based Premium (RBP) Framework introduced for insured banks in India, which specific mechanism is incorporated to recognize institutions with a sustained record of contributions without insurance claim payouts?
On March 27, 2026, the Reserve Bank of India mandated Authorised Dealers to maintain their net open positions involving INR (NOP-INR) in the onshore deliverable market within what daily ceiling limit by the end of each business day?
What is the primary operational scope of SEBI's AI-powered RegTech platform known as Project SUDARSAN?
Effective April 1, 2027, RBI's revised Directions on asset classification repeal existing IRACP norms and introduce an Expected Credit Loss (ECL) framework based on which provisioning approach and accounting methodology?
Completed!
Final Score: 0/40