CAIIB · BRBL

CAIIB BRBL LIVE Class 1 By Ashish Sir

Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for Banking Regulations and Business Laws — CAIIB.

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One-liners from this chapter

Free sample — 8 of 66 rapid-fire Q&A cards.

Q

What is the primary legislation governing the establishment and functioning of banking companies in India?

A

The Banking Regulation Act, 1949 is the primary legislation governing banking companies in India, prescribing their licensing, management, operations, and supervisory framework.

Q

What is the full form of BRBL in the context of CAIIB examination?

A

Banking Regulations and Business Laws subject of CAIIB.

Q

Under Section 5(b) of the Banking Regulation Act, 1949, how is 'banking' defined?

A

Banking is defined as accepting deposits of money from the public, repayable on demand or otherwise, and withdrawable by cheque, draft, order, or otherwise, for lending or investment.

Q

Under which section of the Banking Regulation Act, 1949 can RBI cancel a bank's licence?

A

Section 22 empowers RBI to cancel banking licence.

Q

Which authority grants a licence to a company to commence banking business in India?

A

The Reserve Bank of India (RBI) grants a licence under Section 22 of the Banking Regulation Act, 1949 for a company to commence or carry on banking business.

Q

What is the minimum capital adequacy ratio prescribed for Indian commercial banks under Basel III norms?

A

Minimum Capital Adequacy Ratio is 9% for Indian banks.

Q

What is the minimum paid-up capital requirement for a new private sector bank in India as per RBI guidelines?

A

As per RBI guidelines, the minimum initial paid-up voting equity capital for a new private sector bank is Rs. 500 crore.

Q

What is the tenure of the Governor of the Reserve Bank of India?

A

RBI Governor serves a three-year term, renewable once.

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