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MCQs - 2026-06

2581.
What is the typical stance of the RBI on liquidity management when inflation is a concern?
A To remain neutral and not interfere with market liquidity.
B To actively absorb liquidity from the system.
C To inject liquidity into the system to stimulate growth.
D To maintain a comfortable liquidity surplus.
2582.
When the RBI aims to control excess liquidity in the banking system, which of the following tools is it most likely to use?
A Reducing the Cash Reserve Ratio (CRR)
B Increasing the repo rate
C Lowering the reverse repo rate
D Injecting funds through open market operations
2583.
What is the Reserve Bank of India's (RBI) primary objective regarding inflation control?
A To maintain inflation below 2%
B To achieve and maintain price stability while keeping in mind the objective of growth
C To target a specific inflation rate of 5%
D To allow inflation to fluctuate freely based on market conditions
2584.
What is the primary reason cited by most analysts for India's projected strong GDP growth in FY26 compared to many other major economies?
A Lower inflation rates globally
B Dependence on commodity exports
C Strong demographic dividend and domestic demand
D Significant reduction in interest rates worldwide
2585.
Which of the following factors is NOT expected to significantly contribute to India's GDP growth in FY26?
A Strong domestic consumption
B Increased capital expenditure by the government
C A significant slowdown in global trade
D Resilient services sector performance
2586.
According to recent projections by major financial institutions, what is the anticipated GDP growth rate for India in FY26?
A 6.5% - 7.0%
B 7.0% - 7.5%
C 7.5% - 8.0%
D 6.0% - 6.5%
2587.
The G7 leaders' pledge on 'Digital Governance' at the recent summit primarily aims to address which of the following?
A Promoting traditional forms of communication.
B Establishing global standards for AI and data protection.
C Limiting internet access in developing countries.
D Funding analog technology research.
2588.
Which country hosted the G7 Summit where leaders pledged enhanced climate action and digital governance?
A Canada
B United Kingdom
C Italy
D United States
2589.
In addition to global economic stability and Ukraine support, what two other key areas did G7 leaders pledge enhanced action on at the Italy summit?
A Space exploration and oceanography.
B Climate action and digital governance.
C Poverty reduction and disease eradication.
D Nuclear disarmament and arms control.
2590.
Besides Ukraine support, what was another primary focus area of the G7 Summit held in Italy?
A Space exploration and research.
B Global economic stability.
C Arctic region development.
D Cultural exchange programs.
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