Daily Quiz — 07 Oct 2026

1. Q1.According to overnight indexed swap pricing, what is the market's primary expectation regarding the RBI's policy decision, and what underlying concern does this reflect?

   A 25-bps hike minimum, driven by RBI's need to catch up with global monetary tighteningA 50-bps rate cut to support MSME lending growthA status quo policy to stabilize the INR against the USDA 100-bps hike to match US Federal Reserve tightening
   Explanation: The swap markets are pricing in at least a 25-basis-point rate hike with a meaningful chance of a 50-basis-point move, reflecting market pressure on the RBI to catch up with global monetary tightening after holding rates steady while peers hiked.

2. Q2.What was HDFC Bank's loan growth rate in the September 2026 quarter, and what additional measure did the bank take to support India's foreign exchange reserves?

   15.3% loan growth; raised $11.5 billion through FC-NRD via special RBI window12.8% loan growth; raised $8.5 billion through external commercial borrowings18.5% loan growth; raised $15 billion through bond issuances10.2% loan growth; raised $6 billion through equity infusion
   Explanation: HDFC Bank's loan book expanded 15.3% year-on-year, and the bank raised $11.5 billion through foreign currency non-resident deposits via a special RBI window to shore up India's foreign exchange reserves.

3. Q3.What warning has the Insurance Brokers Association of India issued regarding IRDAI's proposed commission caps?

   Commission caps could reduce broker revenues by 60–70% and disrupt distribution economicsCommission caps will increase policyholder premiums by 25–30%Commission caps will eliminate foreign investment in insurance distributionCommission caps will lead to a 40% reduction in insurance product availability
   Explanation: The association has warned that the reforms could slash broker revenues by 60–70% and disrupt insurance distribution economics, and has urged IRDAI to delay implementation pending a comprehensive impact assessment.

4. Q4.What technology is Zimbabwe seeking to adopt from India, and which Indian organization is leading the negotiation?

   UPI technology from NPCI International Payments LtdRTGS technology from RBI's Payment Systems DivisionBlockchain technology from NITI AayogDigital wallet technology from NPCI Domestic
   Explanation: Zimbabwe is in advanced negotiations with NPCI International Payments Ltd to adopt India's Unified Payments Interface technology as the backbone of a new domestic real-time payments network.

5. Q5.According to the Merchant Discount Rate (MDR) rules on UPI, what is the maximum MDR cap per transaction for person-to-merchant payments above ₹2,000, and who bears this cost?

   ₹300 per transaction maximum; merchants bear the cost, not consumers0.4% with no absolute cap; consumers pay the MDR surcharge₹500 per transaction maximum; cost shared equally between merchant and consumer₹200 per transaction maximum; RBI absorbs the cost through a subsidy scheme
   Explanation: The MDR on UPI person-to-merchant transactions above ₹2,000 is capped at ₹300 per transaction, with the MDR charge borne by merchants, not passed on to retail consumers who pay only the displayed price.

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