Comprehensive Guide to the JAIIB 2025-26 Syllabus and Exam Preparation

Lates Syllabus of JAIIB 2025-26

The latest JAIIB exam syllabus for 2025 consists of four compulsory papers:

1. Indian Economy and Indian Financial System (IE & IFS)

2. Principles and Practices of Banking (PPB)

3. Accounting and Financial Management for Bankers (AFM)

4. Retail Banking and Wealth Management (RBWM)

Each paper contains 100 multiple-choice questions to be answered in 2 hours, with no negative marking. The syllabus covers a wide range of topics including Indian economic architecture, financial systems, banking operations, regulatory frameworks, financial management, retail banking products, and wealth management principles.

This syllabus is designed to provide a comprehensive foundation for banking professionals, enhancing their understanding of banking and financial systems, regulations, and customer service.

Indian Economy and Indian Financial System (IE & IFS)

The Indian Economy and Indian Financial System (IE & IFS) paper in JAIIB is structured into four main modules, each designed to build a foundational understanding relevant to banking professionals:

1. Indian Economic Architecture: This module covers the evolution and structure of the Indian economy, including economic sectors, planning (such as NITI Aayog), priority sectors like MSMEs, infrastructure development, globalization impacts, economic reforms, foreign trade policies, international economic organizations (e.g., World Bank, IMF), climate change, sustainable development goals (SDGs), and current economic challenges faced by India.

   
   

2. Economic Concepts Related to Banking: It introduces key economic principles such as micro and macroeconomics, supply and demand, money supply, inflation, interest rate theories, business cycles, monetary and fiscal policies, national income, GDP concepts, and details about the Union Budget. Understanding these concepts helps relate economic theories to banking functions.

   
   

3. Indian Financial Architecture: This module explains the structure of the Indian financial system, types of banks and non-banking financial companies (NBFCs), regulatory frameworks including the RBI Act and Banking Regulation Act, role of development financial institutions, microfinance, insurance sector, and the role of financial regulators like RBI, SEBI, IRDA, and PFRDA. It also covers banking reforms and their impact.

   
   

4. Financial Products and Services: This covers various financial markets (money, capital, forex), instruments like government securities, corporate bonds, derivatives, merchant banking, factoring, leasing, venture capital, credit rating agencies, mutual funds, insurance products, pension funds, and para banking services including REITs and InvITs.

   
   

This syllabus is comprehensive but designed for practical banking knowledge rather than theoretical depth, focusing on current industry practices, regulations, and economic context to equip bankers for their roles.

Principles and Practices of Banking (PPB)

The Principles and Practices of Banking (PPB) paper in JAIIB is divided into four detailed modules aimed at covering the practical and operational aspects of banking:

Module A: General Banking Operations

• Focuses on the banker-customer relationship, types of relationships, deposit account operations, account opening rules, cash handling, clearing system, money laundering prevention (AML-KYC), foreign exchange basics, banking services like remittances, lockers, and grievance redressal mechanisms.

  
  

Module B: Functions of Banks

• Covers lending principles, credit appraisal, collateral management, types of credit facilities, loan documentation, Non-Performing Assets (NPAs), recovery laws, bank guarantees, letters of credit, retail loans, priority sector lending, agricultural finance, MSME finance, and government schemes related to banking.

  
  

Module C: Banking Technology

• Includes core banking system operations, digital banking services (ATMs, e-banking), payment systems like NEFT/RTGS, cyber security, emerging banking technologies such as fintech, regtech, suptech, and evolving trends like open banking and social media banking.

  
  

Module D: Ethics in Banks and Financial Institutions

• Discusses business ethics, individual and employee ethics, ethical dilemmas, whistleblower policies, and contemporary issues related to privacy, data protection, and technological ethics within the banking context.

This module-wise breakdown equips banking professionals with knowledge about everyday banking operations, regulatory compliance, technological advancements, and ethical conduct, forming a vital foundation for effective banking practice.

Accounting and Financial Management for Bankers (AFM)

The Accounting and Financial Management for Bankers (AFM) paper in JAIIB is divided into four detailed modules aimed at providing a strong foundation in banking-related accounting and financial management principles:

Module A: Accounting Principles and Processes

• Covers the basics such as accounting standards (including Ind AS), basic accounting procedures, maintaining cash and subsidiary books, ledger accounts, bank reconciliation statements, trial balances, rectification of errors, adjusting and closing entries, depreciation accounting, capital and revenue expenditure, bills of exchange, operational accounting entries in banks, back office functions, and bank audit and inspection processes.

  
  

Module B: Financial Statements and Core Banking Systems

• Focuses on the balance sheet equation, preparation of final accounts, company accounts including forms and impact of Ind AS, cash flow and fund flow statements and analysis, final accounts of banking companies, and accounting in computerized environments including core banking systems.

  
  

Module C: Financial Management

• Provides an overview of financial management concepts, ratio analysis, financial mathematics including calculations related to interest, annuities, yield to maturity (YTM), forex arithmetic, capital structure and cost of capital, capital investment decisions like term loans, leasing and lease financing, working capital management, and an introduction to derivatives.

  
  

Module D: Taxation and Fundamentals of Costing

• Covers taxation concepts like income tax, TDS, deferred tax, GST, cost and management accounting overview, costing methods, standard costing, marginal costing, budgets, and budgetary control.

This comprehensive module structure equips banking professionals to handle accounting, finance, taxation, and cost management effectively within their roles in banks. It balances theoretical concepts with practical application relevant to modern banking scenarios.

Retail Banking and Wealth Management (RBWM)

The Retail Banking and Wealth Management (RBWM) paper in JAIIB is organized into four key modules:

Module A: Retail Banking FundamentalsThis covers the basics of retail banking including its characteristics, evolution, advantages, and challenges. It highlights retail banking’s role within bank operations, differentiates retail from corporate/wholesale banking, and discusses branch profitability including profit types, ROA, ROE, and strategies to enhance branch efficiency.

Module B: Retail Products and RecoveryFocuses on customer needs and product development lifecycle, credit scoring models, and important retail liability products like savings, current, fixed, and recurring deposits. It details retail asset products such as home, personal, auto, education loans, cards (credit, debit, prepaid), remittance products (NEFT, RTGS, ECS), digitization of retail banking services, technology including AI’s role, retail loan recovery processes, Management Information Systems (MIS), and securitization.

Module C: Support Services - Marketing of Banking Services and ProductsIntroduces banking marketing concepts, delivery channels (branches, ATMs, digital platforms), delivery models, customer relationship management (CRM), banking service standards, grievance redressal, and marketing information systems for decision-making and effectiveness analysis.

Module D: Wealth ManagementExplores wealth management concepts, investment management fundamentals, tax planning related to investments, and other financial services offered by banks such as mutual funds, insurance products, estate planning, and portfolio management.

Together, these modules offer a practical and comprehensive understanding of retail banking operations, products, customer management, marketing, and wealth management, equipping banking professionals to effectively serve retail customers and manage wealth portfolios.