New Click here to Enroll for SIDBI MSME Expert Classes by Experts

    Register

    Question

    What does ‘on-tap licensing’ provided by the

    Reserve Bank of India mean?
    A The RBI window for granting banking licences will be open only on specific dates. Correct Answer Incorrect Answer
    B The RBI window for granting banking licences will open only when a proposal arises. Correct Answer Incorrect Answer
    C The RBI window for granting banking licences will be open throughout the year. Correct Answer Incorrect Answer
    D None of the above Correct Answer Incorrect Answer
    E All of the above Correct Answer Incorrect Answer

    Solution

    An “on-tap” facility would mean the RBI will accept applications and grant licences for banks throughout the year. On-tap bank licensing facility enables a window for making applications for bank licenses at the RBI throughout the year. Banking licenses were granted upon invitation of applications by RBI to prospective players.

    Practice Next

    Relevant for Exams: