Current Affairs · RBI Prudential Framework and Acquisition Financing
Regarding acquisition financing regulations in India, which of the following statements is correct regarding bank exposure limits for corporate acquisitions?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
Share:
- 1Bank acquisition financing is restricted only to public sector undertakings (PSUs).
- 2Equity contribution for corporate acquisitions must strictly come from fresh capital and cannot be funded by internal accruals.
- 3Banks are permitted to provide 100% financing for all unlisted company acquisitions without equity contribution.
- 4Bank financing for acquisitions is subject to single borrower and group borrower exposure limits mandated by the RBI prudential framework.✓
Correct answer
Bank financing for acquisitions is subject to single borrower and group borrower exposure limits mandated by the RBI prudential framework.
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
👥
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Online Test Series
Start Free Mock Test →Preparing for Current Affairs?
Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.
Chapter Practice
Practice RBI Prudential Framework and Acquisition Financing MCQs →Want more practice questions on RBI Prudential Framework and Acquisition Financing?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Current Affairs · RBI Prudential Framework and Acquisition Financing