External Sector

The artificially fixed rupee-sterling exchange rate prescribed by the _Hilton-Young Commission (1926) was adopted by the British Government for which one of the following reasons ?

Which of the following is/are the most significant implication(s) of obtaining Oeko-Tex certification for Eri Silk in the global textile industry ? 1. It allows Indian exporters to compete in high-end markets that prioritise chemical-free products. 2. It confirms that Eri Silk meets international safety, environmental, and quality standards, enabling its entry into premium eco-conscious markets. Select the answer using the code given below :

Consider the following statements: 1. India is a member of the International Grains Council. 2. A country needs to be a member of the International Grains Council for exporting or importing rice and wheat. Which of the statements given above is/are correct?

Consider the following statements : Statement-! : Switzerland is one of the leading exporters of gold in terms of value. Statement-11 : Switzerland has the second largest gold reserves in the world. Which one of the following is correct in respect of the above statements?

Consider the following statements : Statement-! : India accounts for 32% of global export of goods. Statement-11 : Many local companies and some foreign companies ope~ating in India have taken advantage of India's 'Production-linked Incentive' scheme. Which one of the following is correct in respect of the above statements?

"Rapid Financing Instrument" and "Rapid Credit Facility" are related to the provisions of lending by which one of the following?

With reference to the Indian economy, consider the following statements: 1. An increase in Nominal Effective Exchange Rate (NEER) indicates the appreciation of rupee. 2. An increase in the Real Effective Exchange Rate (REER) indicates an improvement in trade competitiveness. 3. An increasing trend in domestic inflation relative to inflation in other countries is likely to cause an increasing divergence between NEER and REER. Which of the above statements are correct?

With reference to the "G20 Common Framework", consider the following statements: 1. It is an initiative endorsed by the G20 together with the Paris Club. 2. It is an initiative to support Low Income Countries with unsustainable debt. Which of the statements given above is/are correct? Road, Patna, Bihar 800001 | Hyderabad - 1st & 2nd Floor, SM Plaza, RTC X Rd, Indira Park Road, Jawahar Nagar, Hyderabad, Telangana 500020

Consider the following: 1. Foreign currency convertible bonds 2. Foreign institutional investment with certain conditions 3. Global depository receipts 4. Non-resident external deposits. Which of the above can be included in Foreign Direct Investments?

Consider the following statements: The effect of devaluation of a currency is that it necessarily: 1. improves the competitiveness of the domestic exports in the foreign markets 2. increases the foreign value of domestic currency 3. improves the trade balance. Which of the above statements is/are correct?

If another global financial crisis happens in the near future, which of the following actions/policies are most likely to give some immunity to India? 1. Not depending on short – term foreign borrowings 2. Opening up to more foreign banks 3. Maintaining full capital account convertibility Select the correct answer using the code given below:

“Golden Tranche” (Reserve Tranche) refers to

With reference to Foreign Direct Investment in India, which one of the following is considered its major characteristic?

With reference to the international trade of India at present, which of the following statement is/are correct? 1. India’s merchandise exports are less than its merchandise imports. 2. India’s imports of iron and steel chemicals, fertilisers and machinery have decreased in recent years. 3. India’s exports of services are more than its imports of services. 4. India suffers from an overall trade/current account deficit. Select the correct answer using the code given below:

Consider the following statements: 1. Most of India’s external debt is owed by governmental entities. 2. All of India’s external debt is denominated in US dollars. Which of the statement given above is/are correct?

Consider the following statements 1. The quantity of imported edible oils is more than the domestic production of edible oils in the last five years. 2. The Government does not impose any customs duty on all the imported edible oils a special case. Which of two statements given above is/are correct

The term ‘Domestic Content Requirement’ is sometimes seen in the news with reference to

Which of the following has/have occurred in India after its liberalization of economic policies in 1991? 1. Share of agriculture in GDP increased enormously. 2. Share of India’s exports in world trade increased. 3. FDI inflows increased. 4. India’s foreign exchange reserves increased enormously. Select the correct answer using the codes given below:

With reference to Balance of Payments, which of the following constitutes/constitute the Current Account? 1. Balance of trade 2. Foreign assets 3. Balance of invisibles 4. Special Drawing Right

The balance of payments of a country is a systematic record of

Which of the following constitute Capital Account? 1\. Foreign Loans 2\. Foreign Direct Investment 3\. Private Remittances 4\. Portfolio Investment Select the correct answer using the codes given below.

Which one of the following groups of items is included in India’s foreign-exchange reserves?

Which of the following would include Foreign Direct Investment on India? 1. Subsidiaries of foreign companies in India 2. Majority foreign equity holding in Indian companies 3. Companies exclusively financed by foreign companies 4. Portfolio investment **Select the correct answer using the codes given below:**

Which of the following would include Foreign Direct Investment on India? 1. Subsidiaries of foreign companies in India 2. Majority foreign equity holding in Indian companies 3. Companies exclusively financed by foreign companies 4. Portfolio investment Select the correct answer using the codes given below:

Consider the following statement: **The price of any currency in international market is decided by the** 1. World Bank 2. Demand for goods/services provided by the country concerned 3. Stability of the government of the concerned country 4. Economic potential of the country in question. **Select the correct answer using the codes given below:**

Despite having large reserves of coal, why does India import millions of tonnes of coal? 1\. It is the policy of India to save its own coal reserves for future and import it from other countries for the present use. 2 most of the power plants in India are coal based and they are not able to get sufficient applies of coal from within the country? 3\. Steel companies need large quantity of coking coal which has to be imported

Recently there has been a concern over the short supply of a group of elements called rare earth metals. Why? 1\. China, which is the largest producer of these elements, has imposed some restrictions on their export. 2 Other than china, Australia, Canada, Chile, these elements are not found in any country. 3 Rare earth metals are essential for the manufacture of various kinds of electronic items and there is growing demand for these elements. Select the correct answer using the codes given below:

Consider the following actions which the government can take: 1. Devaluing the domestic currency. 2. Reduction in the export subsidy. 3. Adopting suitable policies which attract greater FDI and more funds from FIIs. Which of the above action/actions can help in reducing the current account deficit?

Both Foreign Direct Investment (FDI) and Foreign Institutional Investor (FII) are related to investment in a country. Which one of the following statements best represents an important difference between the two?