Daily Quiz — 25 Aug 2026

1. Q1.According to the article on Small Finance Banks, what is the primary reason SFBs are able to deliver net interest margins of 6.5%–8.5%, significantly outpacing public and private banks?

   Their focus on gold loans, SME lending, and micro-finance in underserved marketsLower operational costs due to reduced branch networksHigher exposure to wholesale banking and corporate lendingGovernment subsidies on interest rates for priority sector lending
   Explanation: The article explicitly states that SFBs' superior margin profile is underpinned by their focus on gold loans, SME lending, and micro-finance in underserved markets, which command higher interest rates.

2. Q2.What was the primary reason for the arrest of Fino Payments Bank's former CEO Rishi Gupta, as mentioned in the article?

   Alleged financial violations under GST lawsMisappropriation of customer fundsViolation of RBI's Know Your Customer normsUnauthorized digital payment transactions
   Explanation: The article states that former CEO Rishi Gupta was arrested by GST intelligence authorities over alleged financial violations.

3. Q3.According to the RBI Money Market Snapshot from August 21, 2026, what was the weighted average overnight repo rate in the money market?

   5.05%5.00%4.95%5.10%
   Explanation: The article explicitly states that the overnight segment had a weighted average rate of 5.05% on August 21, 2026.

4. Q4.What is the projected reduction in India's additional fertiliser subsidy needs for FY27, according to the fiscal deficit article?

   From ₹2.7 lakh crore to under ₹70,000 croreFrom ₹3 lakh crore to ₹1.5 lakh croreFrom ₹2 lakh crore to ₹1 lakh croreFrom ₹4 lakh crore to ₹2 lakh crore
   Explanation: The article states that additional fertiliser subsidy needs are expected to fall sharply from ₹2.7 lakh crore to under ₹70,000 crore, representing a reduction of approximately ₹2 lakh crore.

5. Q5.By what factor did UPI transaction volume surge annually from FY 2016-17 to FY 2025-26, according to the tenth anniversary article?

   Nearly 13,000-foldApproximately 4,000-foldAround 5,000-foldRoughly 10,000-fold
   Explanation: The article states that UPI transaction volume surged nearly 13,000-fold from 1.78 crore transactions in 2016-17 to over 24,162 crore in 2025-26, while transaction value rose more than 4,000-fold.

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