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    Question

    According to a FICCI-IBA survey, what is one of the key

    concerns for India’s banking system?
    A Increasing competition from fintech startups Correct Answer Incorrect Answer
    B Liquidity challenges if credit growth outpaces deposit growth Correct Answer Incorrect Answer
    C Excessive reliance on foreign investments Correct Answer Incorrect Answer
    D Rapid digitalization without proper infrastructure Correct Answer Incorrect Answer
    E Declining demand for long-term credit Correct Answer Incorrect Answer

    Solution

    The FICCI-IBA survey indicated that liquidity challenges could arise for India's banking system if credit growth continues to outpace deposit growth. Raising deposits remains a top priority to maintain credit costs at manageable levels.

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