NABARD GK Questions 2026

Under the Prevention of Money-laundering Maintenance of Records Rules of 2005, a reporting entity must report all cash transactions of a value of more than ten lakh rupees, or their equivalent in foreign currency, and all series of integrally connected cash transactions that together exceed that amount within a month.

The Financial Intelligence Unit India was set up by the Government of India in November 2004 as the central national agency to receive, process, analyse and disseminate information about suspect financial transactions.

The Directorate, which works under the Department of Revenue in the Ministry of Finance and traces its origin to the Enforcement Unit set up on the first of May 1956, registers cases under the Act, attaches property provisionally, arrests, and files prosecution complaints in the Special Court.

The Prevention of Money Laundering Act was passed by Parliament in 2002 and is numbered as an Act of that year, but it was brought into force only on the first of July 2005, together with the Prevention of Money-laundering Maintenance of Records Rules of 2005, which set out the…

Placement comes first because the criminal must get cash into the financial system, which he does through small deposits, the purchase of bearer instruments or by mixing the cash with the takings of a shop or a petrol pump.

It was set up in 1988 on the recommendation of the Vaghul Working Group to deal in short-term instruments such as treasury bills and commercial bills and so give depth and liquidity to the money market; it later became a primary dealer.

Cash Management Bills were introduced by the Government of India and the Reserve Bank in 2010 to meet temporary mismatches in the government's cash flow, and they are issued for periods shorter than 91 days, sometimes for just a few weeks.

M1, narrow money, is the most liquid aggregate: currency, that is notes and coins, with the public, plus the demand deposits of banks, which are withdrawable at any time, plus other deposits with the Reserve Bank, a small residual item.

In a repo the bank that needs funds sells government securities to the Reserve Bank and simultaneously agrees to repurchase them a day or a few days later at a slightly higher price; the difference is the interest, and the rate charged is the repo rate, which is the policy…

An equity share has no maturity date at all; it represents ownership of a company for as long as the company exists, so it is the classic capital market instrument, issued in the primary market and traded on stock exchanges under SEBI's regulation.

Following the Vaghul Committee's recommendations on the money market, the Reserve Bank allowed scheduled commercial banks to issue negotiable certificates of deposit in 1989, and commercial paper followed a year later in 1990.

Call money is the overnight, unsecured borrowing between banks and primary dealers that lets a bank square its cash reserve position at the end of the day; the interest on it is the call rate, the most sensitive interest rate in the system.

These are the three tenors of treasury bills auctioned by the Reserve Bank, with the 91-day bill auctioned most frequently.

A treasury bill is an instrument of the government's short-term borrowing, and the Reserve Bank of India, as banker and debt manager to the government, issues it on the government's behalf through auctions.

By definition the money market is the market for short-term funds, and the dividing line drawn in India and everywhere else is a maturity of one year; anything longer belongs to the capital market.

M3, called broad money or aggregate monetary resources, is the measure the Reserve Bank watches most closely, and it adds the time deposits of the banking system to narrow money.

Statement I is right: commercial paper is an unsecured money market instrument issued in the form of a promissory note, so it is backed only by the credit standing of the issuer and not by any security.

NCEL is National Cooperative Exports Limited, NCOL is National Cooperative Organics Limited and BBSSL is Bharatiya Beej Sahakari Samiti Limited, the national seed cooperative.

The correct answer is Dr Ashish Kumar Bhutani, Secretary in the Ministry of Cooperation, who closed the workshop by calling the discussions productive and asking states to move from discussion to implementation.

The Secretary of the Ministry of Cooperation set that deadline for finishing the first phase of computerising Primary Agricultural Credit Societies, and asked in the same breath that audits for the years 2024-25 and 2025-26 be completed by October 2026.