MCQ Test: Indian Economy Shows Robust Growth Amidst Global Headwinds; IMF Revises $5 Trillion Goal Timeline

1. Which of the following factors primarily bolstered India's economic growth in Q2 FY26?

A) Increased urban demand and private investment B) Increased rural consumption and sustained government expenditure C) Significant increase in foreign direct investment D) High inflationary environment and interest rate cuts

2. According to the International Monetary Fund (IMF), what is India's projected real GDP growth for FY2025/26?

A) 7.8% B) 7.3% C) 6.6% D) 6.2%

3. Why did the IMF revise its projection for India to achieve the $5 trillion economy milestone to FY29?

A) Higher-than-expected nominal growth and Rupee appreciation B) Slower-than-expected nominal growth and Rupee depreciation C) Increased government spending and higher inflation D) Rapid growth in private investment and foreign reserves

4. What was a key positive development for the Indian economy regarding inflation in October 2025?

A) Consumer inflation averaged around 7% B) Headline inflation eased to a historic low of 0.25% C) The RBI increased interest rates due to rising inflation D) Inflation remained stable at 4%

5. What did the Reserve Bank of India's (RBI) 'dovish signals' in October primarily suggest?

A) A potential increase in interest rates B) A potential 25-basis point interest rate cut C) Tightening of liquidity in the market D) Focus on controlling the Rupee's appreciation

6. Which of the following was identified as a factor contributing to the depreciation of the Indian Rupee?

A) Narrowing current-account deficit B) Impact of low US trade tariffs C) Widening current-account deficit D) Significant increase in foreign investment inflows

7. What concerning trend was observed in India's net Foreign Direct Investment (FDI) in September?

A) Record high inflows exceeding outflows significantly B) Positive net FDI for the second consecutive month C) Negative net FDI with outflows exceeding inflows D) FDI remained stable with no significant change

8. How did the International Monetary Fund (IMF) reclassify India's exchange rate regime?

A) Freely Floating B) Fixed Exchange Rate C) Crawl-like arrangement D) Managed Float with no intervention

9. Which company received authorization from the RBI to operate as a Payment Aggregator?

A) Havells India B) Dr. Reddy's Labs C) Paytm Payments Services D) Axis Bank

10. What did Chief Economic Advisor V Anantha Nageswaran urge India's MSME sector to focus on for global competitiveness?

A) Increasing imports and reducing exports B) Innovation and quality-driven manufacturing C) Relying solely on domestic markets D) Reducing workforce and automation

11. Who called for international collaboration to enhance India's maritime capabilities?

A) Chief Economic Advisor V Anantha Nageswaran B) Finance Minister C) Defence Minister Rajnath Singh D) Governor of the Reserve Bank of India

12. What is the approximate level of India's foreign exchange reserves, which offers a buffer for currency management?

A) Around $400 billion B) Close to $693 billion C) Approximately $1 trillion D) Just under $200 billion

13. Which of the following contributed to the strong rally in the Indian stock market as mentioned in the text?

A) Negative global cues and high inflation B) Growing optimism for interest rate hikes by central banks C) Fresh inflows from foreign funds and robust domestic economic fundamentals D) Weak corporate earnings and political instability

14. What economic milestone is the Indian economy on track to surpass within the current fiscal year (FY26)?

A) $2 trillion mark B) $3 trillion mark C) $4 trillion mark D) $5 trillion mark

15. For what strategic purpose did Havells India obtain board approval to acquire a 26% stake in Kundan Solar (Pali)?

A) To enter the electric vehicle manufacturing sector B) For solar power plant development C) To diversify into the real estate market D) For expanding its consumer electronics product line

ALL TN Comp Exams Prep

Indian Economy Shows Robust Growth Amidst Global Headwinds; IMF Revises $5 Trillion Goal Timeline

Your Score: 0 / 0

1. Which of the following factors primarily bolstered India's economic growth in Q2 FY26?

2. According to the International Monetary Fund (IMF), what is India's projected real GDP growth for FY2025/26?

3. Why did the IMF revise its projection for India to achieve the $5 trillion economy milestone to FY29?

4. What was a key positive development for the Indian economy regarding inflation in October 2025?

5. What did the Reserve Bank of India's (RBI) 'dovish signals' in October primarily suggest?

6. Which of the following was identified as a factor contributing to the depreciation of the Indian Rupee?

7. What concerning trend was observed in India's net Foreign Direct Investment (FDI) in September?

8. How did the International Monetary Fund (IMF) reclassify India's exchange rate regime?

9. Which company received authorization from the RBI to operate as a Payment Aggregator?

10. What did Chief Economic Advisor V Anantha Nageswaran urge India's MSME sector to focus on for global competitiveness?

11. Who called for international collaboration to enhance India's maritime capabilities?

12. What is the approximate level of India's foreign exchange reserves, which offers a buffer for currency management?

13. Which of the following contributed to the strong rally in the Indian stock market as mentioned in the text?

14. What economic milestone is the Indian economy on track to surpass within the current fiscal year (FY26)?

15. For what strategic purpose did Havells India obtain board approval to acquire a 26% stake in Kundan Solar (Pali)?

Indian Economy Shows Robust Growth Amidst Global Headwinds; IMF Revises $5 Trillion Goal Timeline

Your Score: 0 / 0

1. Which of the following factors primarily bolstered India's economic growth in Q2 FY26?

2. According to the International Monetary Fund (IMF), what is India's projected real GDP growth for FY2025/26?

3. Why did the IMF revise its projection for India to achieve the $5 trillion economy milestone to FY29?

4. What was a key positive development for the Indian economy regarding inflation in October 2025?

5. What did the Reserve Bank of India's (RBI) 'dovish signals' in October primarily suggest?

6. Which of the following was identified as a factor contributing to the depreciation of the Indian Rupee?

7. What concerning trend was observed in India's net Foreign Direct Investment (FDI) in September?

8. How did the International Monetary Fund (IMF) reclassify India's exchange rate regime?

9. Which company received authorization from the RBI to operate as a Payment Aggregator?

10. What did Chief Economic Advisor V Anantha Nageswaran urge India's MSME sector to focus on for global competitiveness?

11. Who called for international collaboration to enhance India's maritime capabilities?

12. What is the approximate level of India's foreign exchange reserves, which offers a buffer for currency management?

13. Which of the following contributed to the strong rally in the Indian stock market as mentioned in the text?

14. What economic milestone is the Indian economy on track to surpass within the current fiscal year (FY26)?

15. For what strategic purpose did Havells India obtain board approval to acquire a 26% stake in Kundan Solar (Pali)?

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