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

Q6: Consider the following statements regarding adjustments for weights in PSL achievement:

Assertion (A): Incremental priority sector credit in identified districts with comparatively lower credit flow (per capita PSL < ₹9,000) is assigned a higher weight of 125%.
Reason (R): This framework is intended to incentivize credit flow to underserved districts and address regional disparities.
A
Both A and R are true, and R explains A
B
Both A and R are true, but R does not explain A
C
A is true, but R is false
D
A is false, but R is true
✅ Correct Answer: A
The RBI incentivizes Priority Sector Lending in underserved districts by assigning a 125% weight.
This aligns with **RBI Master Directions** to address regional credit disparities effectively.