Punjab National Bank Interview Questions, Process, and Tips for Experienced

Internal risk rating is determined by the organization itself, while external risk rating is provided by external agencies or experts.

• Internal risk rating is based on the organization's own assessment of risks and vulnerabilities.

• External risk rating is provided by third-party agencies or experts who evaluate the organization's risk profile.

• Internal risk rating considers factors specific to the organization, such as it...read more

Internal and external ratings may differ due to different methodologies, data sources, and subjective judgments.

• Internal ratings are based on the bank's own assessment of creditworthiness, while external ratings are provided by independent rating agencies.

• Internal ratings may be more conservative or optimistic than external ratings, depending on the bank's risk appetite and credit culture.

• External ratings may be influe...read more

High average system liquidity level indicates ample availability of funds for financial transactions.

• High liquidity level means more funds are available for financial transactions

• It indicates a healthy financial system

• It can lead to lower borrowing costs for banks and businesses

• It can also indicate a low risk of default on loans

• Examples of factors that can affect liquidity levels include government policies, economic c

Yes, a large forex reserve is good for our country.

• A large forex reserve provides stability to the economy

• It helps in managing the balance of payments

• It can be used to support the currency in case of a crisis

• It can attract foreign investment

• Examples of countries with large forex reserves are China and Japan

A K-shaped recovery refers to an economic recovery where different sectors or groups experience diverging trajectories.

• In a K-shaped recovery, some sectors or groups of people experience rapid growth and recovery, while others continue to struggle or decline.

• This divergence can be seen in the stock market, where certain industries like technology and e-commerce thrive while others like travel and hospitality suffer.

• The...read more

Banks can explore alternate revenue models such as fee-based services, digital banking, cross-selling, and partnerships.

• Offering fee-based services like wealth management, insurance, and advisory services can generate additional income.

• Emphasizing on digital banking services can attract more customers and increase revenue through transaction fees and service charges.

• Cross-selling products and services to existing custo...read more

Migration to IND AS could impact Bank's profitability due to changes in accounting standards.

• Migration to IND AS may lead to changes in recognition, measurement, and disclosure of financial instruments, which could impact the bank's profitability.

• The new standards may require the bank to recognize certain assets and liabilities differently, which could affect the bank's financial statements.

• The bank may need to make ad...read more