Reading Comprehension Detail Questions Mock Tests

Read the following passage and answer the question: "According to the Reserve Bank of India's latest report on digital lending, the number of digital loan applications in India crossed 50 million in the first half of 2024-25, representing a 40 percent increase over the previous period. Microfinance loans accounted for the largest share at 35 percent, followed by personal loans at 28 percent and business loans at 22 percent. The remaining 15 percent comprised education and mortgage loans." Which type of digital loan accounted for the largest share according to the passage?

Read the following passage and answer the question: The demonetization exercise of 2016 was one of the most significant economic reforms undertaken by the Indian government. By invalidating 86% of the currency in circulation, the government aimed to curb black money, promote digital transactions, and reduce counterfeit currency. While the move initially caused widespread disruption at ATMs and bank queues, it ultimately expanded the tax base and accelerated India's transition toward a digital economy. What were the three main objectives of demonetization mentioned in the passage?

Read the following passage and answer the question: The concept of circular economy has gained traction in the Indian banking sector. Banks are increasingly financing projects that promote resource efficiency, waste reduction and sustainable production. Green financing in India is projected to reach 1 trillion dollars by 2030, according to a report by a leading consulting firm. The government has also introduced tax incentives for companies investing in sustainable practices. Despite this progress, experts note that the scale of green financing still falls short of what is needed to meet India's climate goals. According to the passage, when is green financing projected to reach 1 trillion dollars?

Read the following passage and answer the question: "The concept of financial literacy extends beyond merely understanding how to balance a cheque book. It encompasses a broad range of skills including budgeting, investing, understanding credit, and planning for retirement. In India, despite significant progress in banking access, only 27 per cent of adults are financially literate as per the latest survey. Rural-urban disparities, gender gaps, and varying levels of formal education contribute to this shortfall. Experts emphasise that financial literacy programmes must be culturally relevant and delivered through local languages to be effective." What do experts suggest for making financial literacy programmes effective in India?

Read the following passage and answer the question: Cashless transactions in India grew by 93 per cent in fiscal year 2023, with UPI processing over 10 billion transactions in a single month for the first time. This growth has been driven by smartphone penetration, digital literacy programmes, and the governmentx27s push for a less cash-dependent economy. However, the digital divide between urban and rural areas remains a significant challenge, with rural transaction volumes lagging behind urban centres. Which of the following can be inferred from the passage?

Read the following passage and answer the question: The concept of "green banking" has moved from a niche idea to a mainstream priority. Banks worldwide are now financing renewable energy projects, reducing their carbon footprint, and offering eco-friendly financial products. The Reserve Bank of India has issued guidelines mandating that banks disclose the environmental impact of their financing activities. While progress is being made, critics argue that the pace of change is too slow given the urgency of climate change. What do critics say about green banking?

Read the following passage and answer the question: The rise of fintech companies has disrupted traditional banking in India. These technology-driven firms offer services ranging from digital payments to micro-lending, often with lower overhead costs and better user experience. Established banks, initially dismissive of this threat, have now begun either partnering with fintechs or developing their own digital solutions. The Reserve Bank of India has responded by creating a regulatory sandbox -- a controlled environment where fintechs can test innovative products under supervision. Analysts predict that the future of Indian banking lies not in competition between traditional banks and fintechs, but in collaboration. What do analysts predict about the future of Indian banking?

Read the following passage and answer the question: Indiax27s credit card industry has witnessed robust growth, with the number of active credit cards surpassing 100 million in 2023. However, the average credit card delinquency rate has risen to approximately 2.5 per cent, raising concerns about overleveraging among urban consumers. Credit bureaus have noted that a significant portion of new cardholders are young professionals with limited credit history, who may not fully understand the implications of revolving credit and high interest rates. Which of the following can be inferred from the passage?