Bank Promotion Exam Guide

Banking Awareness | Banking Knowledge | for all Bank Exams

Module: | Core Framework & Designation Rules

Q6: For the purpose of D-SIB identification, the RBI focuses the assessment on a sample of banks. Which banks are automatically included in this assessment sample?

A
All Public Sector Banks and Private Banks with branches in more than 10 states.
B
Banks having assets (including off-balance sheet items) exceeding 2% of the national GDP.
C
Any bank that has been operational for more than 50 years.
D
Only the top 3 banks by market capitalization.
✅ Correct Answer: B
The RBI selects a sample of banks for assessment based on their size.
Banks with assets exceeding 2% of GDP are always included in the sample to calculate systemic scores.
This threshold acts as a preliminary Systemic Risk Buffer check before declaring a Domestic Systemically Important Bank (D-SIB).