Economy affairs

Economy current affairs

Question 1
According to the new Index by Nomura, how many countries are at risk of exchange rate crises?
A
7
B
8
C
12
D
15
Question 1 Explanation: 
According to a new index by Nomura, seven countries are at risk of exchange rate crises as investors re-assess their risks. The name of the new index is 'Damocles', that assessed the risk of exchange rate crises for 30 emerging market economies. The seven countries that are at risk of exchange rate crises are Sri Lanka, South Africa, Argentina, Pakistan, Egypt, Turkey and Ukraine.






Question 2
What will be the GDP rate of India for March 2019?
A
7.10%
B
7.2%
C
7.30%
D
7.40%
Question 2 Explanation: 
Moody's expects the real gross domestic product (GDP) in India to grow 7.2 per cent in the year ending March 2019 and 7.4 per cent in the following year. Earlier Moody's Investors service growth prediction for India was 7.5% in 2018-19, 7.5% in 2019-20 released on 23rd August, 2018. This growth is driven by investment growth and strong consumption. The stable outlook is based on six parameters - operating environment, asset quality, capital, funding and liquidity, profitability and efficiency, and government support.
Question 3
How many countries have been tagged as "high-risk jurisdictions"by global bank?
A
10
B
18
C
25
D
32
Question 3 Explanation: 
China, UAE, Cyprus and significantly, Mauritius, along with 21other countries have been tagged as "high-risk jurisdictions"by global banks acting as custodians for foreign funds which comprise the largest group of investors in the Indian stock market. Large investors and beneficial owners of these funds entering India through these high-risk jurisdictions will face close scrutiny while non-resident Indians and persons of Indian origin will run into new hurdles in participating in funds set up in these countries for trading on Indian exchanges.






Question 4
The CCEA has approved Rs ..... crore interest subvention for extending loans by banks to sugar mills.
A
Rs. 2, 790
B
Rs. 1, 500
C
Rs. 2, 280
D
Rs. 1, 800
Question 4 Explanation: 
The CCEA has approved Rs 2, 790 crore interest subvention for extending loans by banks to sugar mills. This is in addition to Rs 1, 332 crore already approved by the Cabinet Committee on Economic Affairs (CCEA) in June 2018. The interest subvention is for extending loans of Rs 12, 900 crore by banks to sugar mills under the scheme for extending financial assistance to sugar mills for enhancement and augmentation of ethanol production capacity.
Question 5
According to Reserve Bank of India (RBI)'s annual data, which country has topped the India's FDI chart in FY18?
A
Netherlands
B
Mauritius
C
Singapore
D
Germany
Question 5 Explanation: 
According to Reserve Bank of India (RBI)'s annual data, Mauritius accounted for the largest source of Foreign Direct Investment (FDI) into India in the financial year FY18 followed by Singapore. The data shows that the total India's FDI stood at $37.36 billion in the FY18, which is a marginal rise over the $36.31 billion recorded in the previous fiscal FY17. The provisional data for the financial year ended March revealed that FDI into the manufacturing sector witnessed a substantial decline to $7.06 billion, as against $11.97 billion in the year-ago period. However, FDI into communication services rose to $8.8 billion in 2017-18 as compared to $5.8 billion.






Question 6
EPFO cuts administrative charges decided to cut the administrative charges to ..... of total wage paid by employers.
A
0.40%
B
0.70%
C
0.5%
D
0.80%
Question 6 Explanation: 
Employees' Provident Fund Organisation's trustees had decided to cut the administrative charges to 0.50% from 0.65% of total wage paid by employers in its meeting this year. EPFO decided to cut the administrative charges in view of its expanding business and high recovery of such fees. According to EPFO estimates, the employers would save in total around Rs.900 crore annually after this move.
Question 7
With which country India signed the Second Protocol amending the Comprehensive Economic Cooperation Agreement in New Delhi?
A
Singapore
B
Malaysia
C
US
D
Canada
Question 7 Explanation: 
India and Singapore have signed the Second Protocol amending the Comprehensive Economic Cooperation Agreement in New Delhi which will boost bilateral trade between the two countries. The Protocol was signed in New Delhi by Rajneesh, Joint Secretary, Ministry of Commerce and Industry and Francis Chong, Senior Director, Ministry of Trade and Industry, Government of Singapore.






Question 8
Ministry of Finance approves ..... to upgrade Doordarshan and All India Radio.
A
Rs 850 crore
B
Rs 720 crore
C
Rs 680 crore
D
Rs 500 crore
Question 8 Explanation: 
Finance ministry has approved Rs 850 crore investment to upgrade Doordarshan (DD) and All India Radio (AIR). The sanctioned amount will be invested over FY19 and FY20. Decision came after Centre has started a manpower audit of Prasar Bharati, acting on the recommendation of an expert committee in 2014 led by Sam Pitroda which recommended that Prasar Bharati 'undertake a comprehensive manpower audit and human resources planning exercise to map workforce requirements for the future, in line with the public broadcaster's mandate'.
Question 9
As per the Trade and Development Report of UNCTAD, what is the GDP growth of India for 2018?
A
7.0%
B
7.20%
C
6.80%
D
6.20%
Question 9 Explanation: 
The United Nations Conference on Trade and Development (UNCTAD) in its Trade and Development Report predicted the GDP growth of India for 2018 to be at 7%. Previously in 2017, it was 6.2%. According to the report, India's GDP grew 8.2% in the April-June quarter especially due to manufacturing and better farm sector performance. The main reasons for overall 7% growth are: Expansion in services and higher demand for exports.






Question 10
As per Ficci's survey 'Ficci's Economic Outlook Survey', the Indian economy is expected to grow at ..... in the current fiscal.
A
7.35
B
7.5
C
7.4
D
7.6
Question 10 Explanation: 
As per Ficci's survey 'Ficci's Economic Outlook Survey', the Indian economy is expected to grow at 7.4 per cent in the current fiscal. It projects that GDP will grow at 7.4 per cent for 2018-19, with a minimum and maximum range of 7.1 per cent and 7.5 per cent, respectively. The economic activity on the first quarter of the current fiscal would be 7.1 per cent. The study further said the median growth forecast for agriculture and allied activities has been put at 3 per cent for 2018-19.
Question 11
India has cut import taxes on crude and refined palm oil from ASEAN countries from 44% to .....
A
31%
B
38%
C
41%
D
40%
Question 11 Explanation: 
The duty on crude palm oil from Malaysia, Indonesia and other members of the Association of South East Asian Nations (ASEAN) was cut to 40% from 44%, while the tax on refined palm oil was cut to 45% from 54% if imported from Malaysia and to 50%, if purchased from Indonesia or other member-nations of Asean. In March 2018, India had raised import tax on crude palm oil to 44 percent from 30 percent and lifted the tax on refined palm oil to 54 percent from 40 percent.






Question 12
CM Fadnavis approves Rs ..... for the memorial of Krantikari Khajyaji Naik in Maharashtra.
A
Rs 5 crores
B
Rs 8 crores
C
Rs 12 crores
D
Rs 15 crores
Question 12 Explanation: 
Swargate Multimodal Hub' in Pune, Maharashtra CM Devendra Fadnavis arrived at Jalgaon, attending the Jan Jati Sammelan organised by Krantikari Khajyaji Naik Smruti Sanstha at Dharangaon. Kranti Kari Khajyaji Naik gave immense contribution during the freedom struggle. CM Fadnavis approves Rs 15 crores for the memorial of Krantikari Khajyaji Naik in Maharashtra.
Question 13
For which crop, the Cabinet Committee on Economic Affairs, CCEA, has increased the Minimum Support Price (MSP)?
A
Rabi
B
Wheet
C
Rice
D
Maize
Question 13 Explanation: 
Cabinet Committee on Economic Affairs, CCEA, has increased the Minimum Support Price (MSP) for all Rabi crops for the current financial year which will be marketed in 2019-20 season. The MSP of wheat has been raised by 105 rupees per quintal, Masur by 225 per quintal, and Gram by 220 per quintal. According to Union Minister Ravishankar Prasad, the decision is a step towards doubling the farmers' income. The decision will give additional return to the farmers of 62, 635 crore rupees by way of increasing the MSP of notified crops to at least 50 per cent return over cost of production.






Question 14
Department of Telecommunication planned to invest in the National Digital Communications policy 2018 to provide broadband access to all citizens by 2022?
A
$1 billion
B
$10 billion
C
$100 billion
D
$1000 billion
Question 14 Explanation: 
National Digital Communications Policy (NDCP) 2018 aims to attract USD 100 billion investment and create 4 million jobs in the sector by 2022. According to the draft of the policy, NDCP is focused on increasing high-speed broadband penetration, with use of modern technologies like 5G and optical fibres across the country at affordable rates.
Question 15
According to Moody's, Indian economy is expected to grow at ..... percent in 2019-2020.
A
7.3
B
7.2
C
7.4
D
7.6
Question 15 Explanation: 
According to Moody's, Indian economy is expected to grow at 7.3 percent in the calendar year 2019 and 2020, and the government spending announced ahead of elections this year which will support near-term growth. Moody's stated in its quarterly Global Macro Outlook for 2019 and 2020. In 2018-19 fiscal, ending March 2019, Indian economy is estimated to have grown 7 percent, lower than 7.2 percent in 2017-18.






Question 16
What is the position of India in the Stock market?
A
7th
B
12th
C
25th
D
32nd
Question 16 Explanation: 
India achieved another milestone when Indian Stock market overtakes Germany for the first time in seven years to become the world's seventh largest stock market. This move reflects India's positive returns this year as companies dependency on domestic demand enabled them to avoid meltdown in other emerging markets spurred due to U.S. - China trade war. South Asian Giant, India is projected to grow at 7.5 percent in 2018 and 7.3 percent in 2019 whereas Germany managed to achieve a growth rate of only 1.6 percent in 2018. After the exit of United Kingdom from European Union, now European Union has only one country in top seven economies of the world - France.
Question 17
How many crores is the total layout of Umbrella Scheme of Integrated Development of Wildlife Habitats for 2017-20?
A
1731 cr
B
1650 cr
C
1883 cr
D
1921 cr
Question 17 Explanation: 
The government has approved the continuation of the centrally-sponsored umbrella scheme of Integrated Development of Wildlife Habitats (CSS-IDWH) till 2019-20. The total outlay is Rs. 1731.72 crore for 2017-18 to 2019-20. The main aim of this scheme is to boost tiger and elephant conservation efforts. The scheme consists of centrally sponsored schemes of Project Tiger (CSS-PT), Development of Wildlife Habitats (CSS-DWH) and Project Elephant (CSS-PE).






Question 18
Finance Minister Piyush Goyal announced a cash back of ..... for digital transactions.
A
15%
B
10%
C
20%
D
25%
Question 18 Explanation: 
Finance Minister Piyush Goyal announces 20% Cashback upto Rs 100 for the Digital Transactions done via BHIM, Rupay or USSD mode. The main aim of the meeting on the concerns and suggestions of the Micro, Small and Medium Enterprises. About GST Goods and Services Tax (GST) is an indirect tax (or consumption tax) levied in India on the supply of goods and service.
Question 19
Commerce and Industry Minister Suresh Prabhu launched a logo and tagline for Geographical Indications (GI) to increase awareness about intellectual property rights (IPRs) in the country. The slogan for the GI tag is;
A
Open the door for a New Strategy
B
The New logistic revolutions
C
Invaluable Treasures of Incredible India
D
An iconic Logistic Experience
Question 19 Explanation: 
Commerce and Industry Minister Suresh Prabhu launched a logo and tagline for Geographical Indications (GI) to increase awareness about intellectual property rights (IPRs) in the country. The slogan for the GI tag is- 'Invaluable Treasures of Incredible India'. A GI product is primarily an agricultural, natural or a manufactured product (handicraft and industrial goods) originating from a definite geographical territory.






Question 20
Recently, the cerntral gvernment has announced a new coin with which of the denomination in 12-edged polygon shape?
A
20
B
10
C
5
D
1
Question 20 Explanation: 
The Centre has announced a new Rs 20 coin which will come in 12-edged polygon (dodecagon) shape. The government is also planning to release new coins of Re 1, Rs 2, Rs 5 and Rs 10. However, the govt has not announced the exact date for the issuance of these new series coins. The Finance Ministry stated that the new Rs 20 coin will be made in copper, zinc and nickel. It will be 27mm (millimeters) and weigh 8.54 grams. The Lion Capitol symbol of Ashoka Pillar with the legend "Satyamev Jayate"below it will be inscribed on its front side. The words "Bharat"in Hindi and "INDIA"in English will be there on the right and left-hand side of the symbol respectively.
Question 21
Which stock exchange launched a 'Tri-party Repo Market Platform' for repurchase of corporate debt security?
A
BSE
B
NSE
C
India INX
D
Calcutta Stock Exchange Ltd
Question 21 Explanation: 
NSE launched a 'Tri-party Repo Market Platform' for repurchase of corporate debt security. It is a repo contract where a third entity, apart from the borrower and lender, called tri-party agent acts as an intermediary to facilitate services like collateral selection, payment and settlement, custody and management during the life of the transaction. It provides opportunity to borrow against the securities and provides short-term liquidity to participants.






Question 22
As per All India Financial Inclusion Survey (NAFIS) by NABARD more than what per cent of rural households have bank accounts?
A
52%
B
68%
C
75%
D
88%
Question 22 Explanation: 
All India Financial Inclusion Survey (NAFIS) by NABARD was released. According to the survey; more than 88 per cent of rural householdshave bank accounts. Only about 24per cent of the 88% of rural households use ATM services at least once in three months, 7.4per cent of these households use debit or credit card. 7.5per cent use cheque to make a payment at least once in three months.
Question 23
Udyam Abhilasha, a National Level Entrepreneurship Awareness Campaign is launched by;
A
Exim Bank
B
NABARD
C
SIDBI
D
IFCI
Question 23 Explanation: 
On the occasion of Birth Anniversary of Mahatma Gandhi, Small Industries Development Bank of India (SIDBI), had launched a National Level Entrepreneurship Awareness Campaign, Udyam Abhilasha in 115 Aspirational Districts identified by NITI Aayog in 28 States and reaching to around 15, 000 youth. SIDBI will join to contribute to "the transformation mission"unleashed for these districts. The campaign would create and strengthen cadre of more than 800 trainers to provide entrepreneurship training to the aspiring youths across these districts thus encouraging them to enter the admired segment of entrepreneurs.






Question 24
The Asian countries of RCEP have offered a concession to this country to open up its markets?
A
Thailand
B
Malaysia
C
Philippines
D
India
Question 24 Explanation: 
Several Asian member countries of the proposed Regional Comprehensive Economic Partnership (RCEP) have offered India a concession on the extent to which it needs to open up its markets. India can now open up 83% of its market against the earlier 92%. The RCEP is a proposed trade agreement between the ASEAN countries and the six free trade agreement partners.
Question 25
As per Confederation of Indian Industry (CII)'s report titled 'Growth Outlook for 2019', What is the GDP rate of India in FY19?
A
7.5%
B
7.30%
C
7.70%
D
7.90%
Question 25 Explanation: 
Growth Outlook for 2019', Confederation of Indian Industry (CII) stated that India will remain the fastest growing major economy with GDP growth estimated to be 7.5% in FY19. The reasons cited for the growth are: Better demand conditions, settled GST implementation, capacity expansion resulting from growing investments in infrastructure and better credit inflow especially in the service sector (that is of 24%). Additionally, CII had suggested the following: only three slabs for GST - a standard rate, a higher rate for demerit goods and a lower rate for some mass consumption items - and the inclusion of fuels, real estate, electricity and alcohol in the ambit of the levy. RBI to have lending restrictions on banks under the PCA (prompt and corrective action) and create a limited special liquidity window to meet emergencies of financial institutions. the digitization of land records.






Question 26
What is the new GST Recommended by Government Panel for under-construction residential properties?
A
5%
B
8%
C
12%
D
15%
Question 26 Explanation: 
Government panel recommended lowering GST on under-construction residential properties to 5%. The GST rate for under-construction flats earlier was 12%.The Group of Ministers headed by Nithin Patel was formed to analyse tax rates and issues or challenges being faced by the real estate sector under the Goods and Services Tax (GST) regime.The seven member ministerial panel also favoured lowering GST on affordable housing from 8% earlier to 3%.The move will give relief to homebuyers as the tax rate had lowered sharply with no input tax credit. Any cut in GST should reduce the adverse impact on the land abatement rate also.
Question 27
This country becomes World's 2nd biggest stock market.
A
US
B
China
C
Japan
D
Germany
Question 27 Explanation: 
As a result of China's trade war with the US and its campaign to cut debt, the value of China's stock market fell to $6.09 trillion, losing its position as the World's second biggest stock market to Japan ($6.17 trillion). The U.S. has the world's largest stock market at just over $31 trillion. China's stock market overtook Japan's in 2014 and soared to an all-time high of over $10 trillion in 2015.






Question 28
India Signs 38 pacts to give impetus to the manufacturing of capital goods for the iron and steel industry. What is the agreement amount of it?
A
$1.5 Billion
B
$3 Billion
C
$5 Billion
D
$8 Billion
Question 28 Explanation: 
Thirty-eight pacts worth $5 billion were signed among 20 technology providers, capital goods manufacturers and steel producers, which will give impetus to the manufacturing of capital goods for the iron and steel industry. Of the 20 companies who exchanged the MoUs, about 12 are foreign players. The MoUs were signed at a conclave on Capital Goods for Steel Sector, manufacture in India, organised by Confederation of Indian Industry (CII) jointly with Mecon and Steel Ministry.
Question 29
Global research agency Fitch has raised India's growth forecast from 7.4 per cent to .....
A
7.60%
B
7.70%
C
7.8%
D
7.90%
Question 29 Explanation: 
Global research agency Fitch has raised India's growth forecast for the current fiscal to 7.8 per cent from the earlier 7.4 per cent. However, forecast for the next two fiscal, 2019-20 and 2020-21, have been shaved by 20 basis points (100 basis points means 1 per cent) to 7.3 per cent. Fitch's latest projection for the current fiscal is higher than what is estimated by the Reserve Bank of India and even the Government. While the RBI's estimate is 7.4 per cent, the Government feels that it could be 7.5 per cent. However, the International Monetary Fund (IMF) cut its projection to 7.3 per cent from 7.4 per cent. India Ratings too lowered its growth projection by 20 bps to 7.2 per cent.






Question 30
Indian economy grew by ..... in the first quarter (April-June) of the current fiscal year.
A
7.5%s
B
7.80%
C
8.00%
D
8.2%
Question 30 Explanation: 
Indian economy grew by 8.2% in the first quarter (April-June) of the current fiscal, the highest in over two years. This announcement was made by Finance Minister, Arun Jaitley. The manufacturing sector grew by 13.5% which signals very good turnaround in the sector. In a related development Reserve Bank of India stated Non-food credit growth in the system accelerated to 10.6% for July as compared to previous year, driven by loans to the services sector growing at the faster clip. Credit to the services sector grew 23% for the reporting period, up from the year-ago period's 4.9%.
Question 31
Monetary Policy Committee (MPC) of Reserve Bank of India has increased the policy Repo Rate under the liquidity adjustment facility (LAF) by ..... basis points in the Second Bi-monthly Policy Statement (2018-19).
A
25
B
20
C
15
D
10
Question 31 Explanation: 
Monetary Policy Committee (MPC) of Reserve Bank of India has increased the policy Repo Rate under the liquidity adjustment facility (LAF) by 25 basis points to 6.25 percent in the Second Bi-monthly Monetary Policy Statement (2018-19). Consequently, the reverse repo rate under the LAF stands adjusted to 6.0 percent, and the marginal standing facility (MSF) rate and the Bank Rate to 6.50 percent.






Question 32
Which country unveils 4 point vision for future cooperation with India?
A
China
B
Japan
C
Italy
D
Canada
Question 32 Explanation: 
Chinese envoy to India Luo Zhaohui unveiled a four-point vision for future cooperation with India. This is followed by the informal summit between PM Narendra Modi and Chinese President Xi Jinping. The four-point vision are: 1) Sign a Treaty of Friendship and Cooperation 2) Negotiate a bilateral Free Trade Agreement 3) Enhance connectivity 4) Work for early harvest on boundary issues.
There are 32 questions to complete.

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