Updated for 2026 Syllabus Detailed Explanations High-Yield Core Concepts

Bank Promotion Exam Guide

Banking Awareness | Banking Knowledge | for all Bank Exams

Module: General Practice

Q58: A Full Fledged Money Changer (FFMC) is permitted to Purchase foreign exchange from all of the following sources EXCEPT:

A
Residents of India.
B
Non-Residents visiting India.
C
Other FFMCs and Authorized Dealers.
D
None of the above (They can purchase from all these sources).
✅ Correct Answer: D
This question tests the asymmetry between "Purchase" and "Sale" permissions.
1. Purchase Permissions: An FFMC is permitted to buy (purchase) foreign currency notes, coins, and travellers' cheques from anyone—residents, tourists (non-residents), and other authorized entities (Inter-bank). There is no restriction on who they can buy from.
2. Sale Permissions (The Contrast): They can Sell forex only for two purposes: Private Visits and Business Visits.
3. Why D is correct: Since they can purchase from A, B, and C, there is no exception in the list.