These essential MCQ questions are selected from the most important topics in SBI PO (Probationary Officer) Preliminary and Mains examinations 2026. Sections include Banking and Financial Awareness, Static General Knowledge, Current Affairs, Indian Economy and Economic and Social Issues. For truely unlimited daily MCQ practice, visit Vooo AI Education.

🏦 SBI PO General Awareness
1SBI was established in which year?
A. 1947
B. 1950
C. 1955
D. 1969
Answer: C — 1955
State Bank of India was established on 1 July 1955 when the Imperial Bank of India was nationalised and renamed. The Imperial Bank was itself formed in 1921 from the merger of three presidency banks. SBI is India's largest commercial bank and a Fortune 500 company.
2The headquarters of SBI is located in:
A. New Delhi
B. Mumbai
C. Kolkata
D. Chennai
Answer: B — Mumbai
The corporate headquarters of State Bank of India is located at State Bank Bhavan, Madame Cama Road, Mumbai (Maharashtra). SBI has over 22,000 branches and 65,000 ATMs across India, making it the largest bank branch network in the country.
3PMJDY stands for:
A. Pradhan Mantri Jan Dhan Yojana
B. Pradhan Mantri Jan Dharm Yojana
C. Prime Minister Jan Dhan Yojana
D. Pradhan Mantri Jal Dhara Yojana
Answer: A — Pradhan Mantri Jan Dhan Yojana
PMJDY (Pradhan Mantri Jan Dhan Yojana) is India's national financial inclusion mission launched on 28 August 2014. It aims to ensure affordable access to financial services for all households. Account holders get a RuPay debit card and life insurance cover. It is the world's largest financial inclusion initiative.
4The full form of NEFT is:
A. National Electronic Funds Transfer
B. National Efficient Funds Transfer
C. National Electronic Finance Transfer
D. Net Electronic Funds Transfer
Answer: A — National Electronic Funds Transfer
NEFT (National Electronic Funds Transfer) is a nationwide payment system operated by RBI that facilitates one-to-one transfer of funds between bank accounts. NEFT operates on a deferred net settlement basis in hourly batches. Since December 2019, NEFT operates 24x7 including weekends and holidays.
5Which committee recommended the merger of associate banks with SBI?
A. Narasimham Committee
B. Nachiket Mor Committee
C. SBI Board itself
D. RBI Working Group
Answer: A — Narasimham Committee
The Narasimham Committee on banking sector reforms recommended consolidation of public sector banks. Following these recommendations and to create a stronger global bank, SBI merged its five associate banks (State Bank of Bikaner & Jaipur, State Bank of Hyderabad etc.) and Bharatiya Mahila Bank with itself in 2017.
6RTGS is used for:
A. Small value transactions
B. Large value transactions in real time
C. International transfers only
D. Mobile payments only
Answer: B — Large value transactions in real time
RTGS (Real Time Gross Settlement) is used for large-value fund transfers (minimum ₹2 lakh) that are settled in real time — meaning transactions are processed immediately and individually. Unlike NEFT which is batch-based, RTGS settles each transaction individually. It operates 24x7 since December 2020.
7The Insolvency and Bankruptcy Code (IBC) was enacted in:
A. 2014
B. 2015
C. 2016
D. 2018
Answer: C — 2016
The Insolvency and Bankruptcy Code (IBC) was enacted in 2016 to consolidate and amend laws relating to reorganisation and insolvency resolution of corporate persons, partnership firms and individuals. It created the National Company Law Tribunal (NCLT) as the adjudicating authority for corporate insolvencies.
8Priority Sector Lending target for domestic commercial banks is:
A. 30% of ANBC
B. 35% of ANBC
C. 40% of ANBC
D. 45% of ANBC
Answer: C — 40% of ANBC
RBI mandates domestic commercial banks to lend 40% of Adjusted Net Bank Credit (ANBC) to priority sectors including agriculture (18%), micro enterprises, education, housing and weaker sections. This ensures credit flows to sectors that may not otherwise have adequate access to bank credit.
9Which payment system was launched by NPCI for small transactions?
A. NEFT
B. RTGS
C. UPI
D. IMPS
Answer: C — UPI
UPI (Unified Payments Interface) was launched by NPCI (National Payments Corporation of India) in 2016. It allows instant money transfers between bank accounts using a mobile number or UPI ID (VPA). UPI has become the most popular digital payment method in India, processing billions of transactions monthly.
10Basel III norms relate to:
A. Insurance regulation
B. Bank capital adequacy and risk
C. Stock market regulation
D. Foreign exchange regulation
Answer: B — Bank capital adequacy and risk
Basel III is a global regulatory framework developed by the Basel Committee on Banking Supervision to strengthen bank capital requirements and introduce new regulatory requirements on bank liquidity and leverage. It requires banks to maintain higher quality capital and liquidity buffers to withstand financial stress.

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