Whether you are preparing for civil services, SSC, or simply looking to understand India's energy economy, knowing PFC is essential. Before diving into the quiz, let's break down some of the complex financial and structural terminologies associated with PFC.
The Ultimate PFC Knowledge Quiz (20 MCQs)
1. In which year was the Power Finance Corporation (PFC) established?
A. 1975
B. 1986
C. 1992
D. 2001
Answer: B. 1986
2. What is the current CPSE classification status of PFC?
A. Miniratna-I
B. Miniratna-II
C. Navratna
D. Maharatna
Answer: D. Maharatna
3. Which Union Ministry exercises administrative control over PFC?
A. Ministry of Finance
B. Ministry of New and Renewable Energy
C. Ministry of Power
D. Ministry of Commerce and Industry
Answer: C. Ministry of Power
4. In 2019, PFC successfully acquired a majority stake in which major government-owned entity?
A. NTPC
B. REC Limited
C. Power Grid Corporation of India (PGCIL)
D. NHPC
Answer: B. REC Limited
5. Under its Maharatna status, what is the maximum amount PFC can invest in a single project without prior government approval?
A. ₹1,000 crore
B. ₹2,500 crore
C. ₹5,000 crore
D. ₹10,000 crore
Answer: C. ₹5,000 crore
6. Where is the registered headquarters of PFC located?
A. Mumbai
B. Chennai
C. New Delhi
D. Bengaluru
Answer: C. New Delhi
7. Which tax-exemption bonds is PFC authorized to issue under the Income Tax Act, 1961?
A. Section 80C Bonds
B. Section 54EC Capital Gains Bonds
C. Sovereign Gold Bonds
D. RBI Relief Bonds
Answer: B. Section 54EC Capital Gains Bonds
8. Who is the current Chairman and Managing Director (CMD) of PFC?
A. R. S. Dhillon
B. Parminder Chopra
C. Gurdeep Singh
D. Sanjiv Singh
Answer: B. Parminder Chopra
9. In 2017, PFC issued its debut international bond for environmental projects. What was it called?
A. Blue Bond
B. Green Bond
C. Solar Bond
D. Climate Action Bond
Answer: B. Green Bond
10. What is PFC’s primary financial categorization according to the Reserve Bank of India (RBI)?
A. Commercial Bank
B. Non-Banking Financial Company (NBFC)
C. Cooperative Bank
D. Microfinance Institution
Answer: B. Non-Banking Financial Company (NBFC)
11. PFC serves as the designated nodal agency for which major scheme aimed at improving DISCOMs?
A. PM-KUSUM
B. Revamped Distribution Sector Scheme (RDSS)
C. Saubhagya Scheme
D. UJALA
Answer: B. Revamped Distribution Sector Scheme (RDSS)
12. To qualify for Maharatna status, what is the minimum average annual net profit a CPSE must achieve for three consecutive years?
A. ₹1,000 crore
B. ₹2,500 crore
C. ₹5,000 crore
D. ₹10,000 crore
Answer: C. ₹5,000 crore
13. Where did PFC incorporate its first foreign subsidiary, PIFIL?
A. Singapore
B. Dubai International Financial Centre (DIFC)
C. IFSC, GIFT City (Gujarat)
D. London
Answer: C. IFSC, GIFT City (Gujarat)
14. What domestic credit rating does PFC consistently hold from agencies such as CRISIL, ICRA, and CARE?
A. AA
B. AA+
C. AAA
D. A+
Answer: C. AAA
15. In which year did PFC launch its Initial Public Offering (IPO), becoming listed on the BSE and NSE?
A. 1999
B. 2004
C. 2007
D. 2010
Answer: C. 2007
16. Which of the following is NOT a core service provided by PFC?
A. Rupee Term Loans
B. Retail Savings Accounts for Individuals
C. Financial Consulting
D. Short-Term Loans
Answer: B. Retail Savings Accounts for Individuals
17. What specialized role does PFC play for Independent Transmission Projects (ITPs)?
A. Sole Financier
B. Bid Process Coordinator
C. Construction Manager
D. Auditor
Answer: B. Bid Process Coordinator
18. By net worth and consolidated loan asset book, PFC is currently recognized as India's largest:
A. Public Sector Bank
B. NBFC Group
C. Mutual Fund Operator
D. Insurance Provider
Answer: B. NBFC Group
19. What is the minimum average annual turnover required for three consecutive years to qualify for Maharatna status?
A. ₹15,000 crore
B. ₹20,000 crore
C. ₹25,000 crore
D. ₹30,000 crore
Answer: C. ₹25,000 crore
20. A significant portion of PFC’s generation loan book is now actively transitioning toward which sector to support India's 2030 goals?
A. Coal Mining
B. Renewable Energy (RE)
C. Nuclear Power
D. Oil Exploration
Answer: B. Renewable Energy (RE)