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      Question

      What is the maximum limit for the Lead BankтАЩs

      unsecured loans under the revised guidelines for Urban Co-operative Banks (UCBs) with priority sector loans?
      A 20% Correct Answer Incorrect Answer
      B 25% Correct Answer Incorrect Answer
      C 35% Correct Answer Incorrect Answer
      D 30% Correct Answer Incorrect Answer
      E 40% Correct Answer Incorrect Answer

      Solution

      According to the "Master Circular on Exposure Norms for UCBs," UCBs whose priority sector loan portfolio exceeds 90% may grant unsecured advances up to 35% of their total assets.

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