JAIIB PPB Syllabus 2026 — Full Topic List & Exam Pattern

JAIIB PPB Updated: 01 Aug 2026

Syllabus

JAIIB PPB (Paper II) covers general banking operations, bank lending, banking technology, and banking ethics — every topic from the official IIBF syllabus is listed below with a plain-language explanation, along with the exam pattern and passing rules.

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The PDF opens on the official site. Every topic in it is explained in plain language below — you do not have to open the PDF to read the syllabus.

Compiled from the official syllabus · check it against the official link

JAIIB PPB — what this paper is and where it fits

JAIIB (Junior Associate of the Indian Institute of Bankers) is a 4-paper foundation exam run by IIBF for bank employees. Principles & Practices of Banking (PPB) is Paper II of the four — the paper that covers how a bank actually runs: customer relationships, KYC, deposits, lending, banking technology, and ethics.

The other three papers — Indian Economy & Indian Financial System, Accounting & Financial Management for Bankers, and Retail Banking & Wealth Management — are separate papers with their own syllabus. This page covers PPB in full, topic by topic, exactly as the official rulebook lists them.

JAIIB paper	What it covers
Paper I — Indian Economy & Indian Financial System	The structure of the Indian economy and its financial system.
Paper II — Principles & Practices of Banking (this page)	Everyday banking operations, lending, technology, and ethics.
Paper III — Accounting & Financial Management for Bankers	Accounting basics, bank financial statements, and financial management.
Paper IV — Retail Banking & Wealth Management	Retail products, marketing of banking services, and wealth management.

JAIIB exam pattern and passing rules (applies to the PPB paper too)

These rules come from IIBF's official 'JAIIB Rules & Syllabus 2026' booklet and apply to every JAIIB paper, including PPB.

What the syllabus lists	What it means
Question paper	Approximately 100 objective-type multiple choice questions for 100 marks. IIBF may vary the number of questions.
Mode	Online mode only.
Negative marking	None — there is no negative marking for a wrong answer.
Duration	2 hours.
Medium	Candidates may attempt the exam in Hindi or English; the choice must be fixed at registration and cannot be changed later.
Passing marks	Minimum 50 out of 100 in the subject. Alternatively, 45+ marks in each subject with an aggregate of 50% across all subjects in a single attempt also counts as a pass.
Attempts allowed	5 attempts within a maximum of 3 years from first registration, whichever comes first. Attempts need not be consecutive.
Eligibility	Open only to ordinary (institutional) members of IIBF who have passed Class 12 or an equivalent, with some relaxation for clerical/supervisory bank staff.
Calculator allowed	A battery-operated, non-scientific calculator with up to 8 basic functions and 12 digits. Mobile phones and other electronic gadgets are not allowed at all.

PPB Module A: General Banking Operations

This is the largest module in PPB — the legal and operational backbone of everyday branch banking, from opening an account to handling a customer's complaint.

What the syllabus lists	What it means
Banker-Customer Relationship	The basic legal relationship between a bank and its customer — debtor-creditor, trustee, bailee, agent, lessor-lessee — and how each one changes the bank's duty.
AML-KYC Guidelines	Anti-Money Laundering and Know Your Customer rules — how banks check where money comes from and stop it being used for crime or terror funding.
Operational Aspects of KYC	How KYC actually runs day to day — document checks, wire transfer rules, and the Central KYC Records Registry (CKYCR) that stores one KYC record for every customer.
Opening Accounts of Various Types of Customers	The exact rules for opening accounts for individuals, firms, companies, and others — including photographs and the Legal Entity Identifier for large corporate accounts.
Operational Aspects of Deposit Accounts	How deposit accounts are actually run — interest payment, joint-account instructions, nomination, inoperative accounts, and how a bank must respond to a court attachment order.
Operational Aspects of Handling Clearing/Collection/Cash	How cheques move through the Cheque Truncation System, RBI's rules for collecting instruments, and how cash and its custody are secured at branches and ATMs.
Banker's Special Relationship	Special legal powers a bank holds over a customer's funds — mandate, power of attorney, the banker's lien, right of set-off, and right of appropriation.
Foreign Exchange Remittance Facilities for Individuals	How an ordinary person sends or receives foreign currency — the FEMA rules behind it, and the special Indo-Nepal remittance route.
Operational Aspects of NRI Business	The account types NRIs and PIOs can hold in India, buying and selling property here, and how they can send their Indian earnings back abroad.
Foreign Currency Accounts for Residents and Other Aspects	Which foreign-currency accounts an Indian resident is allowed to hold, in India and abroad, and the law (FCRA 2010) that governs foreign contributions.
Cash Management Services and Its Importance	The service banks sell to businesses for collecting and moving their cash faster across many locations, and the practical problems in running it.
Payment and Collection of Cheques and Other Negotiable Instruments	The Negotiable Instruments Act rules for paying and collecting a cheque — endorsement, crossing, forged cheques, and dishonour (bouncing).
Responsibility of Paying Bank	When the bank that pays a cheque is legally protected, and when it is liable — for example if the customer's signature was forged.
Responsibility of Collecting Bank	The legal protection a collecting bank gets under the Negotiable Instruments Act, and the care it must take before it gets that protection.
Ancillary Services	The extra services a bank sells beyond deposits and loans — demand drafts, NEFT, RTGS, mobile banking, lockers, and the fees charged for them.
Financial Inclusion & Financial Literacy	The drive to bring banking to people who have never had a bank account, using mobile-based access and rural training institutes (RSETI), and teaching people to use it.
Customer Service Guidelines	RBI's standing rules for how a branch and its ATMs must treat customers — counter service, information display, and security.
Duties & Rights of a Banker and Customer Rights	What a bank must legally do for a customer (secrecy, reasonable care) versus what it can do (its own rights), and what the customer in turn owes the bank.
Grievance Redressal & RBI Integrated Ombudsman Scheme 2021	How a customer's complaint is handled inside a bank, and the free RBI Ombudsman route if the bank does not resolve it.
The Consumer Protection Act, 2019: Preamble, Extent and Definitions	The 2019 consumer law's structure — the different consumer forums, product liability, and how a customer takes a complaint to them.
The Right to Information Act, 2005	The law that lets a citizen ask a public authority for information, and the process, time limit, and appeal route it lays down.

At a glance

Conducting Body	Indian Institute of Banking and Finance (IIBF)
Official Website	iibf.org.in

PPB Module B: Functions of Banks

This module is about lending — how a bank decides to give a loan, secures it, documents it, and recovers it if the borrower defaults.

What the syllabus lists	What it means
Principles of Lending, Different Types of Borrowers, and Types of Credit Facilities	The basic rules a bank follows before giving a loan, who can borrow, and the difference between fund-based loans (cash paid out) and non-fund-based ones (a guarantee only).
Appraisal and Assessment of Credit Facilities	How a bank judges whether a loan proposal is safe, and the different methods used to work out how much working capital or term loan a business actually needs.
Operational Aspects of Loan Accounts	The everyday running of a loan account — interest rates, monitoring, accounting entries, and the rules banks must follow when they hire recovery agents.
Types of Collaterals and Their Characteristics	What can be pledged as security for a loan — land, gold, shares, insurance policies, term deposits — and what makes each one a good or weak security.
Different Modes of Charging Securities	The legal ways a bank ties a security to a loan — such as pledge, mortgage, hypothecation — and how that charge gets registered.
Documentation	The paperwork a loan needs to be legally enforceable, and the procedure for getting it signed and kept correctly.
Non-Performing Assets/ Stressed Assets	What makes a loan an NPA, how it is classified and provided for in the bank's books, and the framework for resolving accounts that are turning bad.
Important Laws Relating to Recovery Of Dues	The main recovery laws — the DRT Act, SARFAESI Act, and the Insolvency and Bankruptcy Code — that let a bank recover money from a defaulter.
Contracts of Indemnity	A contract where one party promises to make good another's loss — its legal features and how it applies to a bank's own promises.
Contracts of Guarantee & Bank Guarantee	How a guarantee differs from an indemnity, the surety's rights and liabilities, and the precautions a bank takes when it issues or pays a bank guarantee.
Letters of Credit	How an LC works between a buyer's and seller's bank in trade, the parties involved, and the international rulebook (UCPDC 600) that governs it.
Deferred Payment Guarantee	A guarantee that lets a buyer pay for equipment in instalments while the seller is still assured of payment.
Laws Relating to Bill Finance	The law behind financing a trade bill, and the different types of bill finance a bank offers.
Credit Cards, Home Loans, Personal Loans, Consumer Loans	The four most common retail lending products and their basic features and eligibility.
Priority Sector Advances	The RBI-mandated categories (like agriculture and MSME) every bank must lend a fixed share of its money to, and what happens if a bank misses that target.
Agricultural Finance	Short and long-term farm loans, the Kisan Credit Card, minimum support price scheme, and the crop insurance scheme (PMFBY).
Finance to MFIs/Co-Lending Arrangements with NBFCs	How banks fund microfinance institutions and NBFCs, including newer co-lending tie-ups to reach small borrowers faster.
Micro, Small and Medium Enterprises in India	The MSMED Act's classification of small businesses, the credit schemes and rating systems built to support them, and rules on paying them on time.
Government Sponsored Schemes	Central schemes run through banks for the poor and unemployed — DAY-NRLM, DAY-NULM, PMJDY, MUDRA loans, and the KVIC.
Self-Help Groups	What an SHG is, why it is formed, and how the SHG-Bank Linkage Programme connects these groups to formal bank credit.

PPB Module C: Banking Technology

This module covers how banks run on computers and networks today — from core banking software to cyber-fraud response.

What the syllabus lists	What it means
Essentials of Bank Computerisation	The basic building blocks of a computerised bank — networking, uninterrupted power supply, core banking, and how data is stored and mined.
Operational Aspects of CBS Environment	How Core Banking Solution actually works day to day — end-of-day and begin-of-day processing, password control, and security inside the CBS system.
Alternate Delivery Channels – Digital Banking	ATMs, cards and electronic banking as ways to bank without visiting a branch, and the rules limiting a customer's liability when a transaction is unauthorised.
Data Communication Network and EFT Systems	How data travels between banks over networks, and how electronic fund transfer systems such as SWIFT evolved in India.
Digital Payment Systems – NPCI	India's electronic clearing systems and the National Payments Corporation of India, the body behind UPI, IMPS, and similar rails, plus the government's other digital pushes.
Impact of Technology Adoption and Trends in Banking Technology	How new technology has reshaped banking worldwide and in India, and the emerging trends banks are adopting now.
Security Considerations and Mitigation Measures in Banks	The risks and threats a bank's IT systems face, and the audits, controls, and disaster-recovery plans used to guard against them.
Operational Aspects of Cyber Crimes/Fraud Risk Management in Cyber Tech	Telling a cyber fraud apart from a cyber crime, and the phases of a proper incident-response plan when one happens.
Technology trends in Banking, e-RUPI, Fintech - RegTech, SupTech, Hashtag banking etc.	Newer digital ideas in banking — e-RUPI vouchers, RegTech/SupTech (technology for compliance and supervision), banking through social media, and account aggregators.

PPB Module D: Ethics in Banks and Financial Institutions

The shortest module, but a scoring one — it is built around clear right-and-wrong situations rather than technical rules.

What the syllabus lists	What it means
Ethics, Business Ethics & Banking: An Integrated Perspective	Why ethics matters specifically in banking — because the whole business runs on trust — with real cases like Enron and Satyam as warnings.
Ethics at the Individual Level	What shapes a person's own sense of right and wrong — values, beliefs, and a framework for working through an ethical dilemma.
Ethical Dimensions: Employees	Ethical traps an employee can fall into — insider trading, bribes, harassment, conflict of interest — and how organisations try to prevent them.
Work Ethics and the Workplace	What ethical behaviour looks like at work, what causes it to break down, and the law protecting whistleblowers in Indian banks.
Banking Ethics: Changing Dynamics	How technology has created new ethical questions for banks — data security, privacy, and intellectual property.

What the official document does not state

The IIBF syllabus booklet does not give a module-wise or topic-wise mark distribution for PPB — it does not say how many of the roughly 100 questions come from Module A, B, C, or D. It also does not name a fixed textbook edition or publisher price. Study material availability is mentioned only in general terms ('Education -> Publication' page on the IIBF website), without listing specific book titles or ISBNs. Any number or claim beyond what is listed above should not be treated as official.

Source

This page is built from IIBF's official 'JAIIB Rules & Syllabus 2026' document, published on iibf.org.in. Always cross-check exam dates and any rule changes on the official IIBF website before applying.

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