The IOB LBO General/Economy/Banking Awareness Quiz is designed to help candidates prepare for one of the important sections of the Indian Overseas Bank Local Bank Officer Online Exam 2026. The General/Economy/Banking Awareness section contains 40 questions for 40 marks and has a separate time limit of 30 minutes. The quiz covers banking awareness, economic developments, financial institutions, RBI, government schemes, current affairs, and important reports. Regular practice can help candidates improve both knowledge and question-solving speed.
Download IOB LBO General/ Economy/ Banking Awareness Quiz
The IOB LBO General/Economy/Banking Awareness Practice Quiz has been prepared as per the latest exam pattern and syllabus. It includes questions from important topics such as banking awareness, current affairs, Indian economy, RBI and monetary policy, financial institutions, government schemes, reports and indices, and static General Awareness.
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Attempt IOB LBO General, Economy and Banking Awareness Practice Quiz
Regularly practising General/Economy/Banking Awareness questions can help candidates improve their knowledge of important banking and financial concepts. Solving quizzes and mock tests can also help improve recall, speed, accuracy, and confidence for the actual IOB LBO examination.
1. A bank has an exposure at default of Rs. 80 crore, one-year PD of 2.5% and LGD of 45%. Under the simplified expected-loss formula PD x LGD x EAD, expected loss is:
2. For a Rs. 150 crore portfolio with PD 1.8% and LGD 40%, the simplified expected loss is:
3. A bond portfolio has modified duration 4.6. Ignoring convexity, if yields rise by 35 basis points, the approximate percentage price change is:
4. A bond has modified duration 6.2. Ignoring convexity, a 20-basis-point fall in yield implies an approximate price change of:
5. A bank earns interest income of Rs. 96 crore on average earning assets of Rs. 1,200 crore and pays interest expense of Rs. 48 crore on average interest bearing liabilities of Rs. 1,000 crore. Using NIM = net interest income / average earning assets, NIM is:
6. Interest income is Rs. 132 crore, interest expense Rs. 72 crore and average earning assets Rs. 1,500 crore. NIM is:
7. A bank is net long USD 12 million. USD/INR moves from 83.20 to 83.65. Ignoring costs, the mark-to-market gain is approximately:
8. A bank is net short EUR 8 million. EUR/INR rises from 90.10 to 90.55. Ignoring costs, the position incurs approximately:
9. A bank holds Rs. 420 crore of eligible liquid assets and projects 30-day cash outflows of Rs. 620 crore and inflows capped for the calculation at Rs. 200 crore. Under the simplified LCR formula HQLA/net cash outflows, LCR is:
10. Eligible liquid assets are Rs. 360 crore, projected outflows Rs. 500 crore and recognized inflows Rs. 140 crore. Simplified LCR equals:
11. In the 0-3 month bucket, rate-sensitive assets are Rs. 900 crore and rate-sensitive liabilities Rs. 1,150 crore. The repricing gap is:
12. A one-year bucket contains Rs. 1,400 crore of rate-sensitive assets and Rs. 1,050 crore of rate-sensitive liabilities. The repricing gap is:
13. A bank has CET1-equivalent capital of Rs. 92 crore and simplified risk weighted assets of Rs. 800 crore. The ratio is:
14. Capital is Rs. 126 crore against risk-weighted assets of Rs. 1,050 crore. The simplified capital ratio is:
15. Tier-1-like capital is Rs. 75 crore and total exposure measure is Rs. 1,500 crore. The simplified leverage ratio is:
16. A bank has Rs. 108 crore of core capital and Rs. 2,400 crore of total exposure. The simplified leverage ratio is:
17. A 6-month forward on USD is quoted at 84.00 when spot is 83.25. The annualized forward premium, using simple approximation (forward-spot)/spot x 12/6, is closest to:
18. A 3-month forward is 91.20 and spot is 90.75. Annualized simple forward premium is closest to:
19. A bank has average total assets of Rs. 5,000 crore and net profit of Rs. 55 crore. ROA is:
20. Net profit is Rs. 84 crore and average equity Rs. 700 crore. ROE is:
Quiz Summary
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Why should candidates attempt the IOB LBO General and Banking Awareness Quiz?
General/Economy/Banking Awareness requires regular revision because the section can cover both static and current topics. Candidates should understand basic banking concepts along with recent developments in the financial and economic sectors.
- Revise banking concepts
- Improve current affairs awareness
- Strengthen economic knowledge
- Understand financial terms
- Revise RBI-related topics
- Learn important government schemes
- Improve recall speed
- Identify weak areas
- Build exam confidence
What is the IOB LBO General/Economy/Banking Awareness exam pattern?
The General/Economy/Banking Awareness section contains 40 objective questions carrying 40 marks. Candidates get 30 minutes to attempt the section. Since each question carries one mark, candidates should aim for quick and accurate attempts.
| Section | Questions | Marks | Time |
| General/Economy/Banking Awareness | 40 | 40 | 30 minutes |
Which topics are covered in the IOB LBO General/ Economy/ Banking Awareness syllabus?
The quiz covers important areas related to banking, financial awareness, the Indian economy, current affairs, and government initiatives. Candidates should revise the functions of the Reserve Bank of India (RBI), monetary policy, banking terms, financial institutions, and major government schemes.
| Area | Important Topics |
| Banking Awareness | Banking system, products, services and important terms |
| Financial Awareness | Financial markets, institutions and basic concepts |
| Current Affairs | National, international, banking and economic updates |
| Indian Economy | Growth, inflation, employment and major economic developments |
| RBI | Functions, monetary policy and regulatory role |
| Government Schemes | Major financial inclusion and welfare schemes |
| Reports & Indices | Important national and international reports |
| Static Awareness | Important places, institutions, days and basic facts |
Which banking awareness topics should candidates revise first?
Candidates should begin with basic banking concepts and then move towards RBI and financial system-related topics. They should revise important banking terms, monetary policy tools, financial institutions, and banking products. Candidates should also understand concepts related to financial inclusion, digital banking, and government schemes. Regular revision is important because banking awareness questions can test both definitions and practical understanding.
- Indian banking system
- RBI functions
- Monetary policy
- Banking terms
- Financial institutions
- Banking products
- Digital banking
- Financial inclusion
- Government schemes
- Important banking developments
What current affairs should candidates cover for the IOB LBO exam?
Candidates should focus on current affairs that are directly or indirectly connected with banking, finance, business, economy, government policies, and national developments. Important appointments, awards, reports, indices, agreements, and major national and international events should also be revised. Special attention should be given to updates related to the RBI, banks, financial institutions, and economic policies. Candidates can revise monthly current affairs through short notes and quizzes.
| Current Affairs Area | What to Cover |
| Banking | RBI and bank-related developments |
| Economy | Major economic policies and developments |
| Government | New schemes, initiatives and policies |
| Appointments | Important national and financial appointments |
| Reports | Major reports and indices |
| Business | Important corporate and financial developments |
| National Events | Major national developments |
| International Events | Important global developments |
How should candidates prepare for the General/Economy/Banking Awareness section?
Candidates should follow a daily revision routine instead of trying to cover the entire syllabus immediately before the examination. Static banking concepts should be revised regularly, while current affairs should be updated through monthly notes. Candidates should solve quizzes after completing each topic to check their retention. Making short notes of important facts can also make final revision easier.
- Read daily current affairs
- Revise banking concepts
- Follow RBI updates
- Study economic developments
- Revise government schemes
- Prepare short notes
- Attempt topic-wise quizzes
- Practise monthly current affairs quizzes
- Revise important facts repeatedly
How can the IOB LBO General/Economy/Banking Awareness Quiz help candidates?
A practice quiz allows candidates to revise several topics within a short period. It can help them identify whether they are stronger in banking awareness, economy, current affairs, or static General Awareness. Candidates should analyse every incorrect answer and revise the related concept. Since the section has only 30 minutes, timed practice can also help improve speed.
- Improves factual recall
- Strengthens banking awareness
- Improves current affairs revision
- Identifies weak topics
- Builds exam speed
- Supports quick revision
- Improves confidence
FAQs
The section contains 40 questions carrying 40 marks.
Candidates get 30 minutes to attempt the section.
Banking terms, RBI, monetary policy, financial institutions, banking products, government schemes, and financial awareness are important areas.
Yes, candidates should regularly prepare banking, financial, economic, national, and international current affairs.
Regular revision, short notes, topic-wise quizzes, and current affairs practice can help improve the score.
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