Question

    What is PCA full form?

    A Prompt Correction Action Correct Answer Incorrect Answer
    B Prompt Corrective Advice Correct Answer Incorrect Answer
    C Prompt Correction Advice Correct Answer Incorrect Answer
    D Prompt Corrective Action Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    These are an early warning signal for banks in stress. The framework gets activated when banks fail to meet certain financial parameters that the regulator. Basically it enables supervisory intervention of RBI over Banks at an appropriate time and ensures effective market discipline.

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