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      Question

      For identification and mitigation of supervisory

      concerns, RBI uses RBS. What is RBS?
      A 1) Retail Banking Software Correct Answer Incorrect Answer
      B 2) Risk Based Supervision Correct Answer Incorrect Answer
      C 3) Repayment Based Supervision Correct Answer Incorrect Answer
      D 4) Rule Based Supervision Correct Answer Incorrect Answer
      E 5) Regulatory Returns Based System Correct Answer Incorrect Answer

      Solution

      Risk-Based Supervision (RBS) is gradually becoming the dominant approach to regulatory supervision of financial institutions around the world. It is a comprehensive, formally structured system that assesses risks within the financial system, giving priority to the resolution of those risks.

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