RBI Grade B Pattern & Syllabus: Phase 1 & Phase 2

The Reserve Bank of India conducts the RBI Grade B exam to recruit officers for various positions. The RBI Grade B exam syllabus is designed to assess the candidates’ knowledge, understanding, and analytical abilities in various subjects relevant to the banking, economic, financial, and management sectors.

In this article, we’ll explain the RBI Grade B Phase 1 and 2 pattern, syllabus, and important topics in detail.

RBI Grade B Pattern

The RBI Grade B exam is a 3-phase selection process. Each phase is designed to assess the different skills and knowledge required for the role.

1. Phase 1 (Pre)
2. Phase 2 (Mains)
3. Phase 3 (Interview)

RBI Grade B Phase 1 Pattern

The Phase 1 is a preliminary screening round. It is an objective-type test that evaluates the candidate’s fundamental knowledge and understanding of various subjects. It consists of four sections, each assessing different areas of aptitude and competence. 

Here is the RBI Grade B Phase 1 exam pattern:

Candidates who achieve the minimum qualifying marks (overall as well as section-wise) set by the RBI in the Phase 1 exam are eligible to appear for Phase 2.

RBI Grade B Phase 2 Pattern

Phase 2 is the second stage of the selection process. It evaluates candidates in three important subjects, each covering various aspects relevant to the role of an RBI Grade B officer. Here is the RBI Grade B Phase 2 pattern:

Candidates who qualify in Phase 2 are then shortlisted for a psychometric test and interview. The interview process evaluates the candidate’s knowledge, skills, and suitability for the RBI Grade B officer role. 

RBI Grade B Phase 3 (Interview) Pattern

The RBI Grade B interview is the final stage of the selection process for candidates who have successfully cleared the Phase 1 and 2 examinations. Here is the RBI Grade B Phase 3 pattern:

• Candidates need to undergo a psychometric test before appearing for the interview. 
• No marks are allotted for the psychometric test.
• After the psychometric test, there is an interview of 75 marks.
• Candidates may opt for the interview either in Hindi or English.

The final selection is based on the aggregate marks obtained in Phase 2 (Paper I, II, III) and the interview.

Now that you have understood the RBI Grade B pattern, let’s understand its syllabus.

RBI Grade B Syllabus

Understanding the RBI Grade B syllabus significantly impacts the preparation strategy and success in the examination. Below is the detailed syllabus of RBI Grade B Phases 1 and 2.

RBI Grade B Phase 1 Syllabus

The official notification does not mention the detailed syllabus for RBI Grade B Phase 1. So, how will you prepare for the exam? To make it easy for you, we have analysed the previous years’ questions (PYQs) to define the scope of the Phase 1 syllabus and list the important topics for each section.

Reasoning Syllabus for RBI Grade B Phase 1 Exam

Here is the detailed reasoning syllabus for the RBI Grade B Phase 1 exam:

• Alphabetical, Alphanumeric Series
• Coding & Decoding
• Syllogism
• Direction Sense
• Inequality
• Ranking
• Blood Relation
• Seating Arrangement
• Puzzles
• Machine Input Output
• Statement – Assumption
• Statement – Course of Action
• Cause and Effect
• Statement Argument
• Statement Conclusion
• Data Sufficiency

RBI Grade B Phase 1: Important Reasoning Topics

We have carefully analysed the number of questions asked from each topic of reasoning in the past years. Based on our analysis, here are the most important topics for RBI Grade B Phase 1 reasoning:

• Alphabetical, Alphanumeric Series
• Coding & Decoding
• Machine Input Output
• Syllogism
• Direction Sense
• Inequality
• Ranking
• Blood Relation
• Seating Arrangement
• Puzzles

Quantitative Aptitude Syllabus for RBI Grade B Phase 1 Exam

Here is the detailed quantitative aptitude syllabus for RBI Grade B Phase 1:

• Percentage
• Profit & Loss, Discount
• Ratio & Proportion
• Simplification
• Simple & Compound Interest
• Time & Work
• Pipes & Cistern
• Number Series & Number System
• Time, Speed, & Distance 
• Trains & Boats
• Mixture
• Average
• Ages
• Partnership
• Area, Volume
• Probability
• Data Interpretation & Data Sufficiency
• Quadratic Equation
• Quantity Comparison

RBI Grade B Phase 1: Important Quantitative Aptitude Topics

We have carefully analysed the number of questions asked from each topic of quantitative aptitude in the past years. Based on our analysis, here are the most important topics for RBI Grade B Phase 1 quantitative aptitude:

• Number Series
• Percentage
• Profit & Loss
• Quadratic Equation
• Time, Speed, & Distance
• Ratio
• Data Interpretation

English Syllabus for RBI Grade B Phase 1 Exam

Here is the detailed English syllabus for RBI Grade B Phase I:

• Grammar
• Error Spotting
• Sentence Improvement
• Comprehension Ability
• Comprehension passage
• Cloze Test
• Rearrangement
• Para Jumbles
• Double Fillers
• Vocabulary – Synonyms, Antonyms, One-word Substitution, and Phrasal Verbs

RBI Grade B Phase 1: Important English Topics

We have carefully analysed the number of questions asked from each topic of English in the past years. Based on our analysis, here are the most important topics for RBI Grade B Phase 1 English:

• Grammar
  • Subject-Verb Agreement
  • Tenses
  • Conditional Sentences
  • Preposition
  • Complex Preposition
  • Conjunction
  • Advance Verbs
• Reading Comprehension
• Cloze Test
• Double Fillers
• Sentence Improvement

General Awareness(GA) Syllabus for RBI Grade B Phase 1 Exam

GA is divided into 2 parts, static and current affairs, and their weightage in the exam is 10-15 marks and 65-70 marks, respectively. The following topics are most frequently asked from the general awareness section:

Current GA Syllabus for RBI Grade B Phase 1 Exam

• National News: MoUs, summits and major events related to India.
• International: Summits and conferences held abroad.
• Financial & Economics News
• Financial Awareness: RBI and SEBI Notification and Regulations
• Defence: Military exercises, drills and major updates related to the defence sector of India
• Days in News: Major events or days, along with its date and theme
• Persons in News: Obituaries, appointments, retirements
• Sports: Major tournaments and its winners
• Science, Technology and Space
• Awards and honours
• Environment
• Banking, Economy related news
• Reports and Government Schemes
• Books and Authors

Static GA Syllabus for RBI Grade B Phase 1 Exam

• Chief Ministers and Cabinet Ministers
• National Parks and Sanctuaries
• Airport Locations, Stadiums
• Organisations’ Headquarters
• Banks’ Headquarters and Taglines
• Power Plants in India
• Indian Dance Forms
• Countries Capitals and their Currencies
• Important Days

RBI Grade B Phase 1: Important General Awareness Topics

General awareness questions can be asked from any of the above-mentioned topics. Therefore, it’s essential to regularly follow reputable newspapers, news websites, official government portals, and magazines to stay informed about these current affairs topics. 

RBI Grade B Syllabus: Changes in 2023

There was no change in the RBI Grade B Phase 1 paper syllabus.

RBI Grade B Phase 2 Syllabus

The RBI Grade B Phase 2 comprises three papers: Economic and Social Issues, English (Writing Skills), and Finance and Management.

Here’s an overview of the syllabus for each paper in RBI Grade B Phase 2:

Paper-I: Economic and Social Issues (ESI) (Old Syllabus) 

Here is the detailed old ESI syllabus for RBI Grade B Phase II:

• Growth and Development – Measurement of growth: National Income and per capita income – Poverty Alleviation and Employment Generation in India – Sustainable Development and Environmental issues.
• Indian Economy – Economic History of India – Changes in Industrial and Labour Policy, Monetary and Fiscal Policy since reforms of 1991 – Priorities and recommendations of Economic Survey and Union Budget – Indian Money and Financial Markets: Linkages with the economy – Role of Indian banks and Reserve Bank in the development process – Public Finance – Political Economy – Industrial Developments in India- Indian Agriculture – Services sector in India.
• Globalization – Opening up of the Indian Economy – Balance of Payments, Export-Import Policy – International Economic Institutions – IMF and World Bank – WTO – Regional Economic Co-operation; International Economic Issues
• Social Structure in India – Multiculturalism – Demographic Trends – Urbanisation and Migration – Gender Issues – Social Justice; Positive Discrimination in favour of the underprivileged – Social Movements  –  Indian political System – Human Development – Social Sectors in India, Health and Education.

Economic and Social Issues (ESI) Syllabus Change in 2023

According to the official 2023 RBI Grade B notification, some chapters from the Social Structure in India have been removed.

New Syllabus of Economic and Social Issues (ESI)

The new syllabus of Economic and Social Issues is given below:

• Growth and Development – No change
• Indian Economy – No change
• Globalization – No change
• Social Structure in India – Multiculturalism – Demographic Trends – Urbanisation and Migration – Gender Issues. 

Impact of the ESI Syllabus Change

While the health and education chapters have been removed from the syllabus, they remain crucial and encompass generic topics. They should still be considered a part of your syllabus, as Social Justice cannot be fully comprehended without these crucial components. Additionally, questions related to health and education have been asked in previous years, underscoring their relevance and potential inclusion in exam questions.

Paper-II: English (Writing Skills)

There is no defined syllabus for descriptive English, but as per the paper scheme, 3 questions are asked. These 3 questions are asked under the following topics-

1. Essay: An essay is asked to be drafted out of 4-5 options (about 400 words).
2. Precis Writing: Precis writing is to be done in about 140 words.
3. Reading Comprehension: 5 questions based on reading comprehension are asked.

English Syllabus Change

There is no change in the English syllabus.

Paper-III: General Finance and Management (Old Syllabus)

Here is the detailed old General Finance and Management syllabus for RBI Grade B Phase 2:

a) Financial System

1. Regulator of Banks and Financial Institutions
2. Reserve Bank of India – functions and conduct of monetary policy 
3. Banking System in India – Structure and concerns, Financial Institutions – SIDBI, EXIM Bank, NABARD, NHB, etc., Changing landscape of banking sector. 
4. Impact of the Global Financial Crisis of 2007-2008 and the Indian response. 

b) Financial Markets

1. Primary and Secondary Markets (Forex, Money, Bond, Equity, etc.), functions, instruments, and recent developments.

c) General Topics

1. Risk Management in Banking Sector
2. Basics of Derivatives
3. Global financial markets and International Banking – broad trends and latest developments
4. Financial Inclusion
5. Alternate source of finance, private and social cost-benefit, Public-Private Partnership
6. Corporate Governance in the Banking Sector, the role of e-governance in addressing issues of corruption and inefficiency in the government sector.
7. The Union Budget – Concepts, approach and broad trends
8. Inflation: Definition, trends, estimates, consequences and remedies (control): WPI- CPI – components and trends; striking a balance between inflation and growth through monetary and fiscal policies
9. FinTech

d) Management

• Fundamentals of Management & Organizational Behaviour: Introduction to management; Evolution of management thought: Scientific, Administrative, Human Relations and Systems approach to management; Management functions and Managerial roles; Nudge theory.

• Meaning & concept of organizational behaviour; Personality: meaning, factors affecting personality, Big Five model of personality; concept of reinforcement; Perception: concept, perceptual errors. Motivation: Concept, importance, Content theories (Maslow’s need theory, Alderfers’ ERG theory, McCllelands’ theory of needs, Herzberg’s two factor theory) & Process theories (Adams equity theory, Vrooms expectancy theory). 

• Leadership: Concept, Theories (Trait, Behavioural, Contingency, Charismatic, Transactional and Transformational Leadership; Emotional Intelligence: Concept, Importance, Dimensions. Analysis of Interpersonal Relationship: Transactional Analysis, Johari Window; Conflict: Concept, Sources, Types, Management of Conflict; Organizational Change: Concept, Kurt Lewin Theory of Change; Organizational Development (OD): Organisational Change, Strategies for Change, Theories of Planned Change (Lewin’s change model, Action research model, Positive model).

• Ethics at the Workplace and Corporate Governance: Meaning of ethics, why ethical problems occur in business. Theories of ethics: Utilitarianism: weighing social cost and benefits, Rights and duties, Justice and fairness, ethics of care, integrating utility, rights, justice and caring, an alternative to moral principles: virtue ethics, teleological theories, egoism theory, relativism theory, Moral issues in business: Ethics in Compliance, Finance, Human Resources, Marketing, etc. Ethical Principles in Business: introduction, Organization Structure and Ethics, Role of Board of Directors, Best Practices in Ethics Programme, Code of Ethics, Code of Conduct, etc.

• Corporate Governance: Factors Affecting Corporate Governance; Mechanisms of Corporate Governance.

• Communication: Steps in the Communication Process; Communication Channels; Oral versus Written Communication; Verbal versus non-verbal Communication; upward, downward and lateral communication; Barriers to Communication, Role of Information Technology.

General Finance and Management Syllabus Change

According to the official 2023 RBI Grade B notification, some chapters have been added and removed from the finance part. However, the management part is the same with no changes.

New Syllabus of General Finance and Management 

The new syllabus of General Finance and Management is given below:

a) Financial System

1. Structure and Functions of Financial Institutions
2. Functions of the Reserve Bank of India
3. Banking System in India – Structure and Developments, Financial Institutions – SIDBI, EXIM Bank, NABARD, NHB, NaBFID etc.
4. Recent Developments in the Global Financial System and its Impact on Indian Financial System
5. Role of Information Technology in Banking and Finance
6. Non-Banking System
7. Developments in Digital Payments

b) Financial Markets

1. No Change

c) General Topics

1. Financial Risk Management
2. No change
3. No change
4. No change
5. No change
6. Corporate Governance in the Banking Sector
7. No change
8. Basics of Accounting and Financial Statements – Balance Sheet, Profit and Loss, Cash Flow Statements, Ratio Analysis (such as Debt to Equity, Debtor Days, Creditor Days, Inventory Turnover, Return on Assets, Return on Equity, etc.)
9. Inflation: Definition, trends, estimates, consequences and remedies (control): WPI- CPI – components and trends; striking a balance between inflation and growth through monetary and fiscal policies.

d) Management

1. Fundamentals of Management & Organizational Behaviour: No Change
2. Ethics at the Workplace and Corporate Governance: No Change

Impact of the Finance Syllabus Change

The RBI revised the syllabus of the Financial System to align with the evolving developments in the banking and finance industry. It includes crucial aspects like Digital Payments, IT’s role, Non-Banking Entities (NBFCs), and more. Moreover, objective-type questions can be asked from these topics.

Additionally, the RBI introduced the ‘Basics of Accounting and Financial Statements’ chapter under General Topics, representing a fundamental element of core finance. This change is necessary for future RBI officers to possess basic knowledge in accounting—covering essential aspects like Balance Sheets, Profit and Loss, and Cash Flow Statements, among others. Despite only one question being asked from this topic in the previous year, covering this topic is crucial due to its potential relevance in future exams, especially for subjective questions.

Below, we have explained the impact of the Finance syllabus change in detail.

Detailed Bifurcation of Added Chapters

Here is the detailed bifurcation of the added chapters in Finance:

1. Recent Developments in the Global Financial System and its Impact on the Indian Financial System

a. What does Recent mean here?

The recent word used here is undefined. It could be after the year 2008, as there were a lot of changes introduced (such as Basel III) in the financial system because of the global financial crisis.

b. Basically, we have to focus on regulation at the global level and how they are impacting India.

• Money Markets
• Interest Rates/ Bond Yields
• Foreign Exchange Markets
• Derivatives Markets
• Risk Management

2. Role of Information Technology in Banking and Finance

• FinTech
• ATM
• Internet Banking
• Payment Systems
  • Credit/Debit Cards
  • RTGS/NEFT 24/7
  • UPI
  • E-Wallets
  • Frauds
  • AI (Artificial Intelligence) for Approval and Product Needs
• Phone Banking

3. Non-Banking System 

The major thing that you would be required to study under non-banking is NBFCs. NBFCs (Non-Banking Financial Companies) are entities that provide bank-like financial services but don’t hold a banking licence and are unregulated. It includes the following:

• Insurance Firms
• Venture Capitalists 
• Currency Exchangers
• Micro Finance Organizations
• Housing Finance Companies
• Pension Funds
• Factoring Company
• E-Wallets

This is not a complete list, but just to give you an idea of the chapters you need to study.

4. Developments in Digital Payments

• UPI
• IMPS/RTGS/NEFT
• AePS
• BPS
• NETC

5. Basics of Accounting and Financial Statements 

• Balance Sheet
• Profit and Loss
• Cash Flow Statements
• Ratio Analysis
  • Debt to Equity
  • Debtor Days
  • Creditor Days
  • Inventory Turnover
  • Return on Assets
  • Return on Equity
    

Now that you have understood the RBI Grade B Phase I and II syllabus and its latest changes, it’s time to understand the important topics from each subject.

RBI Grade B Phase 2: Most Important Topics 

We have mentioned some of the most important topics for objective and descriptive preparation for the RBI Grade B Phase 2 examination. 

ESI (Objective)

We have carefully analysed the number of questions asked from Economic and Social Issues in the past years. Based on our analysis, here are the most important topics for ESI:

• Measurement of Growth
• Fiscal Policy
• Monetary Policy
• Balance of Payment
• Poverty Alleviation & Employment Generation
• Sustainable Development & Environmental Issues
• Industrial & Labour Policy, Industrial Development
• International Economic Institutions
• Current Affairs: Reports, Schemes, Union Budget, and Economic Survey

ESI (Subjective)

Here are some of the important chapters based on the previous years’ question papers analysis:

• Growth and Development – Poverty Alleviation and Employment Generation in India – Sustainable Development and Environmental Issues.
• Indian Economy –Monetary Policy– Priorities and Recommendations of Economic Survey and Union Budget – Industrial Developments in India- Indian Agriculture.
• Globalization –Export-Import Policy
• Social Structure in India – Multiculturalism – Demographic Trends – Urbanisation and Migration – Gender Issues – Social Justice; Positive Discrimination in favour of the underprivileged – Social Movements  –  Indian political System – Human Development – Social Sectors in India, Health and Education.

Management (Objective)

We have carefully analysed the number of questions asked from Management in the past years. Based on our analysis, here are the most important topics for Management:

• Motivation
• Leadership
• Communication
• General Management
• Emotional Intelligence
• Personality and Perception 
• Conflict
• Organizational Change and Reinforcement
• Corporate Governance
• Ethics

Management (Subjective)

Here are some of the important chapters based on the previous years’ question papers analysis:

• Leadership
• Communication
• General Management
• Organizational Change & Reinforcement
• Corporate Governance
• Ethics

Finance (Objective)

We have carefully analysed the number of questions asked from Finance in the past years. Based on our analysis, here are the most important topics for Finance:

• Primary and Secondary Markets (Forex, Money, Bond, Equity, etc.), functions, instruments, and recent developments.
• Risk Management in the Banking Sector
• Inflation: Definition, trends, estimates, consequences and remedies (control): WPI- CPI – components and trends; striking a balance between inflation and growth through monetary and fiscal policies
• Basics of Derivatives
• Functions of Reserve Bank of India
• Monetary and Fiscal Policy  
• Who Regulates What? (Regulator of Banks and Financial Institutions)
• Current Affairs: RBI Notification (Past 6 months), News related to SEBI – Capital Markets, News Related to Ministry of Finance, Union Budget

Finance (Subjective)

Here are some of the important chapters based on the previous years’ question papers analysis:

• Recent Developments in Global Financial System and its impact on Indian Financial System
• Global financial markets and International Banking – broad trends and latest developments
• Financial Inclusion
• Alternate source of finance, private and social cost-benefit, Public-Private Partnership
• Corporate Governance in Banking Sector, the role of e-governance in addressing issues of corruption and inefficiency in the government sector.

For detailed information, Download the Comprehensive Guide to RBI Manager.

Conclusion

In the blog, we have explained the RBI Grade B pattern, syllabus, and important topics for Phases 1 and 2. The RBI Grade B syllabus serves as a comprehensive roadmap for aspirants’ preparation. It outlines the subjects, topics, and areas of knowledge for Phase 1 and 2. Understanding the syllabus and identifying the important topics are essential for candidates to plan and execute a focused and efficient study strategy. 

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