MCQs on Institutional Framework & MSME Financing | MSME Quiz

25 MCQs on Institutional Framework & MSME Financing | MSME Quiz

25 MCQs on Institutional Framework & MSME Financing


Certificate in MSME

  1. Which institution provides marketing and finance support to MSMEs?
    A) SIDO
    B) NSIC
    C) NIESBUD
    D) RTC
    Answer: B) NSIC

  2. Which organization trains entrepreneurs and promotes entrepreneurship?
    A) NSIC
    B) SISI
    C) NIESBUD
    D) DIC
    Answer: C) NIESBUD

  3. SIDBI primarily finances:
    A) Large Industries
    B) MSMEs
    C) Agricultural Farms
    D) MNCs
    Answer: B) MSMEs

  4. District Industries Centers (DICs) are managed by:
    A) SIDBI
    B) State Governments
    C) RBI
    D) NSIC
    Answer: B) State Governments

  5. The apex body for MSME policy formulation at the central level is:
    A) DIC
    B) SIDO
    C) NSIC
    D) RTC
    Answer: B) SIDO

  6. RRBs primarily cater to:
    A) Urban MSMEs
    B) Rural MSMEs
    C) Export Houses
    D) Foreign Banks
    Answer: B) Rural MSMEs

  7. Which institution manages small-scale industry extension services?
    A) SIDO
    B) NISIET
    C) CFTI
    D) SFC
    Answer: B) NISIET

  8. Footwear training and support is provided by:
    A) NIESBUD
    B) PPDC
    C) CFTI
    D) RTC
    Answer: C) CFTI

  9. Which institution provides quality certification to MSME products?
    A) RTCs
    B) DICs
    C) SIDBI
    D) CFTI
    Answer: A) RTCs

  10. Which act was responsible for MSME policy reforms after 2006?
    A) SME Act 2002
    B) MSMED Act 2006
    C) SIDBI Act
    D) Banking Regulation Act
    Answer: B) MSMED Act 2006

  11. What is the primary responsibility of SFCs?
    A) Financing large corporates
    B) Supporting small industries financially
    C) Export subsidies
    D) Regulating banks
    Answer: B) Supporting small industries financially

  12. Which government body supports infrastructure for MSMEs at the state level?
    A) SIDBI
    B) SIIC
    C) DIC
    D) RTC
    Answer: B) SIIC

  13. State Industrial Development Corporations (SIDCs) focus mainly on:
    A) Software companies
    B) Industrial Infrastructure
    C) Urban Housing
    D) Medical Research
    Answer: B) Industrial Infrastructure

  14. Enterprise perspective in MSME financing emphasizes:
    A) Maximum Profit
    B) Low-cost credit and accessibility
    C) High-risk exposure
    D) Stock trading
    Answer: B) Low-cost credit and accessibility

  15. Banker’s perspective in MSME financing emphasizes:
    A) Risk minimization
    B) Portfolio expansion
    C) High return on loans
    D) Subsidy management
    Answer: A) Risk minimization

  16. MSMEs contribute majorly to India’s:
    A) IT Industry
    B) GDP and employment
    C) Oil Production
    D) Mining Sector
    Answer: B) GDP and employment

  17. Which organization evaluates and supports export activities of MSMEs?
    A) NIESBUD
    B) SIDO
    C) NSIC
    D) CFTI
    Answer: C) NSIC

  18. Which institution offers cluster development programs for MSMEs?
    A) SIDBI
    B) SISI
    C) RTC
    D) NSIC
    Answer: A) SIDBI

  19. Small Industries Service Institutes (SISI) are now known as:
    A) MSME-Development Institutes
    B) RTCs
    C) SIDC
    D) DICs
    Answer: A) MSME-Development Institutes

  20. Which body is responsible for MSME data registration through Udyam Portal?
    A) DICs
    B) Ministry of MSME
    C) NSIC
    D) RTCs
    Answer: B) Ministry of MSME

  21. The financial institution specifically set up for small industries was:
    A) IFCI
    B) SIDBI
    C) IDBI
    D) NABARD
    Answer: B) SIDBI

  22. For priority sector lending, banks must allocate a minimum percentage of their credit to:
    A) Agriculture only
    B) MSME sector
    C) Real Estate
    D) Gold Loans
    Answer: B) MSME sector

  23. In MSME, CIBIL and MIRA reports are important for:
    A) Technology innovation
    B) Quality Certification
    C) Creditworthiness assessment
    D) Marketing promotion
    Answer: C) Creditworthiness assessment

  24. Financial support under CGTMSE scheme is aimed to provide:
    A) High-interest loans
    B) Collateral-free loans to MSMEs
    C) Only export finance
    D) Housing Finance
    Answer: B) Collateral-free loans to MSMEs

  25. Which of the following is not a state-level institution supporting MSMEs?
    A) DIC
    B) SIDBI
    C) SFC
    D) SIIC
    Answer: B) SIDBI


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