BANKING AFFAIRS

Detailed explanation-1: -Notes: Merchant Banks are those banks which provide capital to the firms in the form of shares and engage in underwriting of stocks etc.

Detailed explanation-2: -A merchant bank is a financial institution that conducts underwriting, loan services, financial advising, and fundraising services for large corporations and high-net-worth individuals (HWNIs). Merchant banks specialize in international trade, providing services for multinational corporations.

Detailed explanation-3: -The Merchant banker shall ensure compulsory market making through the stock brokers of SME exchange in the manner specified by the Board in chapter XB, for a minimum period of three years from the date of listing of specified securities on SME exchange.

Detailed explanation-4: -Merchant banks provide capital to firms in the form of shares rather than loans. Central banks are categorized at the international organization level of the global monetary and financial system. The Indian rupee is one of the currencies upon which the value of the SDR is based.

Detailed explanation-5: -Merchant banks help in processing loan applications for short and long-term credit from financial institutions. They provide these services by estimating total costs involved, developing a financial plan for the entire project, as well as adopting a loan application for commercial lenders.