n NISM Certifications
XV NISM Series XV
Medium

Which can have a negative impact on the banking industry?

Practice question from NISM XV Mock Test 2 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Economic boom

  2. Increase in interest rates

    Correct answer

  3. C

    Increase in property sales

  4. D

    All of the above

Why this is the answer

Higher interest rates increase borrowing costs, risk of loan defaults, and reduce credit demand, negatively impacting banks.

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