Q. Which institution is known as the “central bank of central banks”?

a) World Bank

b) International Monetary Fund (IMF)

c) Bank for International Settlements (BIS)

d) European Central Bank (ECB)

Answer: c) Bank for International Settlements (BIS)

Q. The primary purpose of the World Bank is to:

a) Provide short-term loans to countries

b) Facilitate international trade

c) Provide long-term economic development loans

d) Regulate international currency exchange rates

Answer: c) Provide long-term economic development loans

Q. Which institution provides financial and technical assistance to developing countries?

a) World Trade Organization (WTO)

b) International Monetary Fund (IMF)

c) World Bank

d) International Finance Corporation (IFC)

Answer: c) World Bank

Q. What is the main purpose of the International Monetary Fund (IMF)?

a) To provide funding for infrastructure projects

b) To ensure the stability of the international monetary system

c) To promote free trade globally

d) To provide insurance against political risks

Answer: b) To ensure the stability of the international monetary system

Q. Which financial institution is primarily concerned with trade liberalization?

a) World Bank

b) International Monetary Fund (IMF)

c) World Trade Organization (WTO)

d) Asian Development Bank (ADB)

Answer: c) World Trade Organization (WTO)

Q. Which of the following is not a part of the World Bank Group?

a) International Bank for Reconstruction and Development (IBRD)

b) International Development Association (IDA)

c) International Finance Corporation (IFC)

d) International Monetary Fund (IMF)

Answer: d) International Monetary Fund (IMF)

Q. The International Development Association (IDA) is the concessional arm of:

a) IMF

b) World Bank Group

c) WTO

d) BIS

Answer: b) World Bank Group

Q. Which World Bank Group member focuses on the private sector?

a) International Development Association (IDA)

b) International Finance Corporation (IFC)

c) Multilateral Investment Guarantee Agency (MIGA)

d) International Bank for Reconstruction and Development (IBRD)

Answer: b) International Finance Corporation (IFC)

Q. Which organization within the World Bank Group provides political risk insurance and credit enhancement?

a) International Development Association (IDA)

b) International Finance Corporation (IFC)

c) Multilateral Investment Guarantee Agency (MIGA)

d) International Bank for Reconstruction and Development (IBRD)

Answer: c) Multilateral Investment Guarantee Agency (MIGA)

Q. Which institution in the World Bank Group focuses specifically on dispute resolution?

 a) International Finance Corporation (IFC)

 b) International Centre for Settlement of Investment Disputes (ICSID)

 c) International Development Association (IDA)

 d) International Bank for Reconstruction and Development (IBRD)

 Answer: b) International Centre for Settlement of Investment Disputes (ICSID)

Q. The IMF was established in which year?

 a) 1944

 b) 1945

 c) 1946

 d) 1947

 Answer: b) 1945

Q. Which of the following is not a function of the IMF?

 a) Monitoring exchange rates

 b) Providing short-term capital to countries

 c) Setting up trade agreements

 d) Offering policy advice

 Answer: c) Setting up trade agreements

Q. Special Drawing Rights (SDRs) are associated with which institution?

 a) World Bank

 b) International Monetary Fund (IMF)

 c) Bank for International Settlements (BIS)

 d) World Trade Organization (WTO)

 Answer: b) International Monetary Fund (IMF)

Q. The IMF’s main purpose includes all except:

 a) Promoting international monetary cooperation

 b) Facilitating balanced growth of international trade

 c) Providing long-term loans for development projects

 d) Providing short-term financial assistance to countries

 Answer: c) Providing long-term loans for development projects

Q. Which country has the largest quota in the IMF?

 a) China

 b) Japan

 c) United States

 d) Germany

 Answer: c) United States

Q. The WTO was established in:

 a) 1945

 b) 1948

 c) 1986

 d) 1995

 Answer: d) 1995

Q. The predecessor of the WTO was:

 a) International Trade Organization (ITO)

 b) General Agreement on Tariffs and Trade (GATT)

 c) International Monetary Fund (IMF)

 d) World Bank

 Answer: b) General Agreement on Tariffs and Trade (GATT)

Q. The main function of the WTO is to:

 a) Provide financial assistance to countries

 b) Regulate exchange rates

 c) Promote free trade by regulating trade agreements

 d) Provide long-term development loans

 Answer: c) Promote free trade by regulating trade agreements

Q. Which of the following is not a principle of the WTO?

 a) Non-discrimination

 b) Free trade

 c) Fair competition

 d) Economic embargo

 Answer: d) Economic embargo

Q. Which WTO agreement deals with trade-related aspects of intellectual property rights?

 a) TRIPS

 b) GATS

 c) TRIMS

 d) TBT

 Answer: a) TRIPS

Q. Which regional development bank focuses on Asia?

 a) Inter-American Development Bank (IDB)

 b) African Development Bank (AfDB)

 c) Asian Development Bank (ADB)

 d) European Bank for Reconstruction and Development (EBRD)

 Answer: c) Asian Development Bank (ADB)

Q. The headquarters of the African Development Bank (AfDB) are located in:

 a) Abuja, Nigeria

 b) Addis Ababa, Ethiopia

 c) Abidjan, Côte d’Ivoire

 d) Nairobi, Kenya

 Answer: c) Abidjan, Côte d’Ivoire

Q. Which regional development bank was established to help countries in Latin America and the Caribbean?

 a) Asian Development Bank (ADB)

 b) Inter-American Development Bank (IDB)

 c) African Development Bank (AfDB)

 d) European Investment Bank (EIB)

 Answer: b) Inter-American Development Bank (IDB)

Q. The European Bank for Reconstruction and Development (EBRD) primarily helps countries in:

 a) Africa

 b) Asia

 c) Latin America

 d) Europe and Central Asia

 Answer: d) Europe and Central Asia

Q. The Asian Infrastructure Investment Bank (AIIB) is headquartered in:

 a) Tokyo, Japan

 b) Beijing, China

 c) New Delhi, India

 d) Singapore

 Answer: b) Beijing, China

Q. The Basel Committee on Banking Supervision (BCBS) is associated with which institution?

 a) World Bank

 b) International Monetary Fund (IMF)

 c) Bank for International Settlements (BIS)

 d) World Trade Organization (WTO)

 Answer: c) Bank for International Settlements (BIS)

Q. The Financial Stability Board (FSB) was established to:

 a) Provide long-term development loans

 b) Regulate international trade

 c) Promote international financial stability

 d) Provide short-term financial assistance

 Answer: c) Promote international financial stability

Q. Which institution issues the Basel Accords?

 a) International Monetary Fund (IMF)

 b) World Bank

 c) Bank for International Settlements (BIS)

 d) Financial Stability Board (FSB)

 Answer: c) Bank for International Settlements (BIS)

Q. Which Basel Accord introduced the concept of risk-weighted assets?

 a) Basel I

 b) Basel II

 c) Basel III

 d) Basel IV

 Answer: a) Basel I

Q. The primary objective of Basel III is to:

 a) Enhance financial reporting standards

 b) Strengthen bank capital requirements and introduce new regulatory requirements

 c) Promote international trade

 d) Provide financial aid to developing countries

 Answer: b) Strengthen bank capital requirements and introduce new regulatory requirements

Q. The 2008 global financial crisis led to the creation of which financial oversight body?

 a) World Bank

 b) International Monetary Fund (IMF)

 c) Financial Stability Board (FSB)

 d) World Trade Organization (WTO)

 Answer: c) Financial Stability Board (FSB)

Q. The Dodd-Frank Act was passed in response to the financial crisis in which country?

 a) United Kingdom

 b) United States

 c) Germany

 d) Japan

 Answer: b) United States

Q. Which institution coordinated the global response to the 2008 financial crisis?

 a) International Monetary Fund (IMF)

 b) World Bank

 c) Bank for International Settlements (BIS)

 d) G20

 Answer: d) G20

Q. Quantitative easing is a monetary policy tool primarily used by:

 a) Central banks

 b) Commercial banks

 c) World Bank

 d) IMF

 Answer: a) Central banks

Q. The European Sovereign Debt Crisis primarily affected:

 a) Northern European countries

 b) Eastern European countries

 c) Southern European countries

 d) Western European countries

 Answer: c) Southern European countries

Q. The Heavily Indebted Poor Countries (HIPC) Initiative is associated with:

 a) World Bank and IMF

 b) WTO and BIS

 c) IMF and WTO

 d) ADB and AfDB

 Answer: a) World Bank and IMF

Q. Which institution focuses on trade facilitation in developing countries?

 a) World Bank

 b) International Monetary Fund (IMF)

 c) International Trade Centre (ITC)

 d) World Trade Organization (WTO)

 Answer: c) International Trade Centre (ITC)

Q. The New Development Bank (NDB) was established by:

 a) G7 countries

 b) BRICS countries

 c) ASEAN countries

 d) EU countries

 Answer: b) BRICS countries

Q. Which financial institution has a primary focus on climate change and sustainable development?

 a) World Bank

 b) Green Climate Fund (GCF)

 c) International Monetary Fund (IMF)

 d) World Trade Organization (WTO)

 Answer: b) Green Climate Fund (GCF)

Q. Which World Bank initiative aims to end extreme poverty by 2030?

 a) Millennium Development Goals (MDGs)

 b) Sustainable Development Goals (SDGs)

 c) Poverty Reduction Strategy Papers (PRSPs)

 d) Global Poverty Project

 Answer: b) Sustainable Development Goals (SDGs)

Q. The International Finance Corporation (IFC) is focused on:

 a) Public sector investment

 b) Private sector development

 c) Regulating financial markets

 d) International trade agreements

 Answer: b) Private sector development

Q. The World Bank’s main funding source is:

 a) Contributions from member countries

 b) Borrowing in international capital markets

 c) Printing money

 d) Revenue from trade tariffs

 Answer: b) Borrowing in international capital markets

Q. The Asian Development Bank (ADB) provides:

 a) Grants only

 b) Loans and technical assistance

 c) Insurance services

 d) Military aid

 Answer: b) Loans and technical assistance

Q. The Global Environment Facility (GEF) was established to address:

 a) Financial stability

 b) Trade disputes

 c) Environmental issues

 d) Economic development

 Answer: c) Environmental issues

Q. Which organization manages the International Development Association (IDA) fund?

 a) World Bank

 b) International Monetary Fund (IMF)

 c) Bank for International Settlements (BIS)

 d) World Trade Organization (WTO)

 Answer: a) World Bank

Q. The Bretton Woods Conference in 1944 led to the establishment of:

 a) World Trade Organization (WTO)

 b) United Nations (UN)

 c) International Monetary Fund (IMF) and World Bank

 d) European Union (EU)

 Answer: c) International Monetary Fund (IMF) and World Bank

Q. The term “Washington Consensus” refers to:

 a) Policies promoting free market capitalism

 b) Strategies for military alliances

 c) Agreements on environmental protection

 d) Plans for international peacekeeping

 Answer: a) Policies promoting free market capitalism

Q. The original goal of the International Monetary Fund (IMF) was to:

 a) Provide long-term development loans

 b) Oversee the fixed exchange rate system

 c) Regulate international trade

 d) Offer political risk insurance

 Answer: b) Oversee the fixed exchange rate system

Q. Which treaty established the European Central Bank (ECB)?

 a) Treaty of Rome

 b) Maastricht Treaty

 c) Treaty of Lisbon

 d) Treaty of Nice

 Answer: b) Maastricht Treaty

Q. The Group of Seven (G7) includes all of the following countries except:

 a) Canada

 b) Italy

 c) Japan

 d) China

 Answer: d) China

Q. Which institution launched the COVID-19 response initiative called COVAX?

 a) World Bank

 b) International Monetary Fund (IMF)

 c) GAVI, the Vaccine Alliance

 d) United Nations (UN)

 Answer: c) GAVI, the Vaccine Alliance

Q. The Paris Agreement is associated with which global issue?

 a) Financial stability

 b) Trade liberalization

 c) Climate change

 d) Intellectual property rights

 Answer: c) Climate change

Q. The Belt and Road Initiative (BRI) is led by which country?

 a) United States

 b) Russia

 c) China

 d) India

 Answer: c) China

Q. Which country recently launched a sovereign wealth fund called the Public Investment Fund (PIF)?

 a) Norway

 b) Saudi Arabia

 c) Singapore

 d) United Arab Emirates

 Answer: b) Saudi Arabia

Q. Which institution leads the initiative known as the Global Debt Relief Initiative?

 a) World Bank

 b) International Monetary Fund (IMF)

 c) G20

 d) Paris Club

 Answer: c) G20

Q. A “Green Bond” is specifically used for:

 a) Funding military projects

 b) Promoting agricultural development

 c) Environmental and climate-related projects

 d) Developing infrastructure

 Answer: c) Environmental and climate-related projects

Q. Which organization is known for issuing Eurobonds?

 a) European Union (EU)

 b) European Central Bank (ECB)

 c) European Investment Bank (EIB)

 d) International Monetary Fund (IMF)

 Answer: c) European Investment Bank (EIB)

Q. Sovereign Wealth Funds (SWFs) are typically owned by:

 a) Private investors

 b) Central banks

 c) National governments

 d) International organizations

 Answer: c) National governments

Q. The primary purpose of Special Drawing Rights (SDRs) is to:

 a) Serve as a global reserve asset

 b) Regulate international trade

 c) Provide long-term loans to developing countries

 d) Facilitate currency exchange

 Answer: a) Serve as a global reserve asset

Q. Credit Default Swaps (CDS) are financial instruments used for:

 a) Currency exchange

 b) Insuring against default of debt

 c) Promoting trade

 d) Regulating banking activities

 Answer: b) Insuring against default of debt

Q. The highest decision-making body of the IMF is the:

 a) Board of Governors

 b) Executive Board

 c) International Monetary and Financial Committee (IMFC)

 d) Development Committee

 Answer: a) Board of Governors

Q. The World Bank Group’s President is selected by:

 a) IMF’s Managing Director

 b) Board of Governors

 c) United Nations General Assembly

 d) World Economic Forum

 Answer: b) Board of Governors

Q. Voting power in the IMF is determined primarily by:

 a) One country, one vote

 b) The size of the country’s economy

 c) The country’s population

 d) The country’s financial contribution

 Answer: d) The country’s financial contribution

Q. The primary decision-making body of the World Trade Organization (WTO) is:

 a) The General Council

 b) The Secretariat

 c) The Dispute Settlement Body

 d) The Trade Policy Review Body

 Answer: a) The General Council

Q. The African Union (AU) established which financial institution to promote economic integration?

 a) African Central Bank (ACB)

 b) African Monetary Fund (AMF)

 c) African Investment Bank (AIB)

 d) All of the above

 Answer: d) All of the above

Q. Derivatives are financial instruments whose value is derived from:

 a) Physical commodities

 b) Underlying assets

 c) Interest rates

 d) Foreign exchange rates

 Answer: b) Underlying assets

Q. Which of the following is an example of a derivative?

 a) Bond

 b) Stock

 c) Futures contract

 d) Savings account

 Answer: c) Futures contract

Q. The primary purpose of the International Finance Corporation (IFC) is to:

 a) Provide loans to sovereign governments

 b) Invest in private enterprises in developing countries

 c) Regulate international trade

 d) Ensure financial stability

 Answer: b) Invest in private enterprises in developing countries

Q. The International Swaps and Derivatives Association (ISDA) is best known for:

 a) Regulating stock markets

 b) Standardizing derivative contracts

 c) Managing sovereign wealth funds

 d) Providing development loans

 Answer: b) Standardizing derivative contracts

Q. Microfinance institutions primarily serve:

 a) Large corporations

 b) Governments

 c) Low-income individuals and small businesses

 d) International organizations

 Answer: c) Low-income individuals and small businesses