RBI GRADE ‘B’ OFFICER’S EXAM Held on : 06.02.2011 (Part-I)

Total Questions: 50

1. What role do Micro, Small and Medium Enterprises (MSMEs) play in a country's economic and industrial development ?

(A) They have the capacity to absorb skilled and unskilled labour available in the country.

(B) Such institutions help in distribution of income in a wide spectrum and do not allow it to get concentrated in few hands or in few areas.

(1) Only (A)
(2) Only (B)
(3) Only (C)
(4) Only (A) and (C)
(5) All (A), (B) and (C)

Correct Answer: (4) Only (A) and (C)

Solution:(4) Only (A) and (C)

2. Which of the following statements about the Indian Economy is correct ?

(1) Indian economy is as developed as that of China
(2) About 70% Indians are involved in some type of self- employment and are the owners of some or the other micro or small enterprise
(3) In India single biggest employment is agriculture and allied activities
(4) About 48% Indian work- force is employed in foreign countries or in organiza- tions assisted by foreign capital
(5) None of these

Correct Answer: (3) In India single biggest employment is agriculture and allied activities

Solution:Being the largest source of emplloyment in the country, agriculture and allied activites is a source of livelihood for over two- third of the population in country.

3. Which of the following is/are correct about the problems of Indian Agriculture ?

(A) Large agricultural subsidies are hampering productivity- enhancing investments.

(B) Irrigation infrastructure is in bad shape and needs immediate improvement.

(1) Only (A)
(2) Only (A) & (B)
(3) Only (A) & (C)
(4) All (A), (B) & (C)
(5) None of these

Correct Answer: (4) All (A), (B) & (C)

Solution:All (A), (B) & (C)

4. As per news in various journals, many banks have failed to achieve agriloan target fixed by the RBI for the year 2010-11. What was the target fixed for the year ?

(1) 10%
(2) 15%
(3) 18%
(4) 24%
(5) 30%

Correct Answer: (3) 18%

Solution:18 per cent

5. Which of the following statements about Agro and Allied activities is NOT correct ?

(1) Farmers do not get adequate credit for purchase of cattle
(2) There is a need to improve breed and genetic characteristics of the cattle folk
(3) India has huge forest cover and also degraded and marshy land which can be used for productive purposes
(4) India is the 10th largest producer of medicinal and aromatic plants. But the products are not of commercial -value
(5) Animal husbandry plays an important role in providing sustainability under Rain fed conditions

Correct Answer: (4) India is the 10th largest producer of medicinal and aromatic plants. But the products are not of commercial -value

Solution:India is the 10th largest producer of medicinal and aromatic plants. But the products are not of commercial value

6. Which of the following schemes launched by the Govt. of India aims at enhancing the livelihood security of the people in rural areas by guaranteeing hundred days of employment in a financial year to a rural household whose adult members volunteer to do unskilled manual work ?

(1) TRYSEM
(2) Pradhan Mantri Gram Sadak Yojana
(3) Kutir Jyoti Scheme
(4) ASHA
(5) MGNREGA

Correct Answer: (5) MGNREGA

Solution:M.G.N.R.E.G.A. : Mahatma Gandhi National Rural Employment Guarantee Act.

7. In some parts of India, farmers face acute distress because of heavy burden of debt from non-institutional lenders. Who can be called a non-institutional lender ?

(1) Small Banks
(2) Grameen Banks
(3) Credit Cooperative Societies
(4) Micro Finance Institutions
(5) Money Lenders

Correct Answer: (5) Money Lenders

Solution:Money Lenders

8. The South Asian Free Trade Agreement (SAFTA) was introduced with a view of levying how much custom duty for trading any product within the SAARC zone ?

(1) 5%
(2) 4%
(3) 2%
(4) 1%
(5) No custom duty

Correct Answer: (5) No custom duty

Solution:The South Asian Free Trade Agreement (SAFTA) was introtuced in 2005 with a view of levying zero custom duty for trading any product by the year 2012.

9. Which of the following organisation prepares rural credit plans on annual basis for all districts in India, which in turn form the base for annual credit plans of all rural financial institutions ?

(1) SIDBI
(2) NABARD
(3) RBI
(4) Indian Bank's Association
(5) CII

Correct Answer: (2) NABARD

Solution:N.A.B.A.R.D. : National Bank for Agriculture and Rural Development was started on 12th July,

10. Which of the following is TRUE about the current population trend(s) in India ?

(A) Every year India adds more people to the world's population than any other country.

(B) Currently India has a young population which will grow somewhat older largely as a result of decline in fertility.

(1) Only (A)
(2) Only (B)
(3) Only (C)
(4) Only (A) and (B)
(5) All (A), (B) and (C)

Correct Answer: (1) Only (A)

Solution:It's head office is in Mumbai.

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