Question
According to RBI’s prudential norms, what is the
general provisioning requirement for substandard assets (ignoring ECGC guarantee cover and securities available)?Solution
Under RBI’s Income Recognition and Asset Classification (IRAC) norms, banks are required to make general provisions against non-performing assets (NPAs). For substandard assets (i.e., accounts classified as NPAs for less than or equal to 12 months): • A general provision of 15% of the total outstanding is mandated. • This provision is calculated without considering any ECGC (Export Credit Guarantee Corporation) guarantee cover or the value of securities available. • The intent is to create a buffer against potential losses, ensuring that banks remain adequately capitalized and risk-resilient. Therefore, the required general provision is 15%.
OUTLANDISH
Identify the highlighted part of speech, choose the correct answer
The student procrastinated too long and failed to finish the projectÂ
...From the options given below, select the option which states the correct combination of correct sentences.
- The fact is...
Most children remain ______ school between the age of seven and ten.
The satellite is functioning very well (A)/ and in another four days till now, (B)/ it will be placed into their (C)/ specified slot in the Geo-Synchron...
Select the statement that can logically complete the paragraph given below.
  That human beings often continue to pour money into bad project...
"An interview after the campaign ends (is the normal) for every candidate and every campaigner in every election," he said.
(As soon after the players arrived) in decorated cars, the ceremony began with traditional African drummers and dancers blowing conch shells.
Select the correctly punctuated sentence from the options below.
As a result of the unrellenting focus (A)/ on the anguished knocks (B)/ at the doors of the highest court, (C)/ the other inadequacies of the system (D)...
Relevant for Exams:
