Professional Documents
Culture Documents
Bank Po Exams
Bank Interview Questions paper 2010
8. What is MFN?
MFN stands for Most Favoured Nation. The principle, fundamental to the GATT, of
treating imports from a country on the same basis as that given to the most favored other
nation. That is, and with some exceptions, every country gets the lowest tariff that any
country gets, and reductions in tariffs to one country are provided also to others.
is the rate at which our banks borrow rupees from RBI. A reduction in the repo rate will
help banks to get money at a cheaper rate. When the repo rate increases borrowing from
RBI becomes more expensive. On March 4, 2009 it was 5% in India (please check the
latest figure by RBI)
26.What is Basel I?
Also known at Basel Capital Accord, this was an agreement in 1988 by the Basel
Committee of central bankers to measure the credit risk of commercial banks and set
minimum standards for bank capital in order to reduce the likelihood of international
repercussions due to bank failures.
improve their ability to manage those risks. As a result, it is intended to be more flexible
and better able to evolve with advances in markets and risk management practices.
The efforts of the Basel Committee on Banking Supervision to revise the standards
governing the capital adequacy of internationally active banks achieved a critical
milestone in the publication of an agreed text in June 2004.
The total amount of black money globally is estimated between $2.1 and 2.5 trillion. This
is roughly about seven percent of the world’s GDP.
33.What is a Black Market?
A black market is an illegal market, in which something is bought and sold outside of
official government-sanctioned channels. Black markets tend to arise when a government
tries to fix a price without itself providing all of the necessary supply or demand. Black
markets in foreign exchange almost always exist when there are exchange controls.
34.What is a blue chip company? Why it is blue color only used in such companies?
A blue chip is concerned with stocks & shares of company, which are well established
and whose purchase is considered extremely safe. Due to stable earnings and no
extensive liabilities these companies are called blue chip companies.
The term blue chip comes from casinos, where blue chips stand for counters of the
highest value. Most blue chip stocks pay regular dividends, even when business is faring
worse than usual.
Vande mataram schem is a nationwide programme aimed at improving ante and post-
natal care–which was launched on February 9, 2004. The scheme envisages free ante and
post-natal check-ups, tips to avoid nutritional problems and anemia and counseling on
small family norm and is a major initiative in Public Private partnerships during
emergency.