Daily Quiz — 01 Oct 2026

1. Q1.According to Crisil's latest report, what is the current credit ratio for India Inc in H1 FY27, and what does this indicate about corporate credit quality?

   2.18 times, indicating improving credit quality1.5 times, indicating deteriorating credit quality2.5 times, indicating excessive leverage1.8 times, indicating stagnant credit conditions
   Explanation: Crisil explicitly reported that India Inc's credit ratio rose to 2.18 times in H1 FY27 from 1.5 times in H2 FY26, signalling improving corporate credit quality despite various external risks.

2. Q2.According to RBI data on lending rates in August 2026, what percentage of total outstanding floating-rate rupee loans are now linked to external benchmarks?

   68.2%55.8%72.5%61.3%
   Explanation: The article explicitly states that external benchmark-linked loans now account for 68.2% of total outstanding floating-rate rupee loans, continuing to displace MCLR-linked credit.

3. Q3.India's fiscal deficit reached what percentage of the full-year target during April–August FY27, and how does this compare to the previous year's pace?

   41.9%, ahead of the 38.1% pace from the previous year38.1%, matching the pace from the previous year45.2%, exceeding the previous year's pace significantly35.7%, below the previous year's pace
   Explanation: The fiscal deficit widened to ₹7.10 lakh crore in April–August FY27, reaching 41.9% of the full-year target of ₹16.96 lakh crore, ahead of the 38.1% pace recorded in the same period last year.

4. Q4.Under India's extended West Asia export credit insurance scheme (EPM RELIEF), what is the enhanced coverage percentage provided, and until when has the extension been granted?

   95% coverage, extended to March 202790% coverage, extended to December 202685% coverage, extended to March 2027100% coverage, extended to June 2027
   Explanation: The article states that the scheme raises coverage to 95% against the standard 85–90%, with the government absorbing the additional premium cost, and has been extended to March 2027.

5. Q5.In the RBI's overnight Variable Rate Reverse Repo (VRRR) auction on September 30, 2026, what was the participation level relative to the notified amount, and what does this signal about banking system liquidity?

   Less than 50% participation, signalling comfortable liquidity conditionsOver 90% participation, signalling tight liquidity conditionsExactly 50% participation, signalling neutral liquidity conditionsOver 80% participation, signalling excess liquidity
   Explanation: The VRRR auction drew bids of ₹85,424 crore against a notified amount of ₹2,00,000 crore (less than half), with the weighted average rate at 5.24%, signalling comfortable liquidity conditions in the banking system as subdued participation indicates banks have sufficient funds.

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