If the RBI maintains the repo rate when inflation is high, what is the likely impact on the overall credit availability and borrowing costs in the economy?
A Credit availability will increase, and borrowing costs will decrease.
B Credit availability will decrease, and borrowing costs will increase.
C Credit availability and borrowing costs will largely remain stable, discouraging new borrowing.
D Credit availability will remain stable, but borrowing costs will significantly decrease.
Answer: C
Maintaining the repo rate, especially when inflation is a concern, means the RBI is not easing its monetary stance. This typically leads to stable, rather than decreasing, borrowing costs for banks and, consequently, for consumers and businesses. This stability, particularly if rates are already elevated, tends to discourage new borrowing and investment, helping to curb aggregate demand and inflationary pressures.
1622.
The repo rate is a key instrument in the Reserve Bank of India's monetary policy. What does the term 'repo rate' primarily refer to?
A The rate at which commercial banks can deposit surplus funds with the RBI.
B The rate at which the RBI lends money to commercial banks against government securities.
C The interest rate charged by commercial banks on long-term loans to customers.
D The rate at which the government borrows from the public.
Answer: B
The repo rate is the interest rate at which the Reserve Bank of India lends money to commercial banks in exchange for government securities. It is a crucial tool for controlling the money supply and influencing interest rates in the economy.
1623.
In its recent monetary policy review in 2026, the Reserve Bank of India (RBI) decided to maintain the repo rate. What is the primary objective behind such a decision when inflation concerns persist?
A To support economic growth by encouraging borrowing.
B To control inflation by signaling a tight monetary stance.
C To increase government revenue through higher interest earnings.
D To boost exports by making domestic currency cheaper.
Answer: B
Maintaining the repo rate amidst inflation concerns signals that the RBI is prioritizing inflation control. It aims to keep borrowing costs stable, thereby moderating demand and inflationary pressures, rather than stimulating further growth which could exacerbate inflation.
1624.
When the UN Security Council discusses climate change's impact on international peace, it often refers to the potential for climate-related disasters to act as a 'threat multiplier'. What does this term imply?
A Climate disasters reduce the need for international aid.
B Climate disasters can worsen existing social, economic, and political tensions, increasing the likelihood of conflict.
C Climate disasters only affect remote and uninhabited regions.
D International cooperation on climate change is no longer necessary.
Answer: B
The term 'threat multiplier' signifies that climate change impacts do not create problems in a vacuum but rather amplify existing vulnerabilities and tensions within and between states, potentially leading to instability and conflict.
1625.
Which UN body, besides the Security Council, is primarily responsible for coordinating global efforts to combat climate change?
A International Court of Justice (ICJ)
B United Nations Development Programme (UNDP)
C United Nations Framework Convention on Climate Change (UNFCCC)
D World Health Organization (WHO)
Answer: C
The UNFCCC is the international treaty that sets the framework for global climate action, including organizing COPs (Conferences of the Parties) where nations negotiate climate agreements.
1626.
In 2026, the UN Security Council convened a session to discuss the impact of climate change on international peace. Which of the following is a significant concern raised during such discussions?
A Increased agricultural productivity due to warmer climates.
B Reduced frequency of extreme weather events.
C Potential for resource scarcity and climate-induced migration leading to conflict.
D Stabilization of sea levels globally.
Answer: C
Discussions at the UN Security Council often highlight that climate change can exacerbate resource scarcity (like water and food) and lead to mass migrations, which in turn can fuel instability and conflict, thus impacting international peace.
1627.
Which of the following was NOT a primary focus of the G7 Summit in 2026, as per its concluding statements on economic stability and global security?
A Addressing Inflationary Pressures
B Promoting Sustainable Development Goals
C Coordinating Sanctions on Specific Nations
D Enhancing Cybersecurity Measures
Answer: B
While Sustainable Development Goals are important, the primary focus of the 2026 G7 Summit, as highlighted in its concluding statements, was on immediate economic stability and global security concerns like inflation, sanctions coordination, and cybersecurity.
1628.
A key outcome of the 2026 G7 Summit was the commitment to strengthen cooperation in which of the following areas?
A Space Exploration
B Artificial Intelligence Regulation
C Global Supply Chain Resilience
D Cultural Exchange Programs
Answer: C
The 2026 G7 Summit emphasized strengthening global supply chain resilience as a critical component of economic stability and security.
1629.
In 2026, which country hosted the G7 Summit, focusing on economic stability and global security?
A Canada
B Italy
C Japan
D Germany
Answer: B
Italy hosted the G7 Summit in 2026. The summit's agenda prominently featured discussions on economic stability and global security challenges.
1630.
The e-Courts Project, a mission mode project, aims to improve the efficiency of the Indian judicial system. Which of the following is a key objective of this project?
A To establish new physical courtrooms across the country
B To provide free legal aid to all citizens
C To computerize and automate court processes and case management
D To increase the number of Supreme Court judges
Answer: C
The e-Courts Project aims to computerize the Indian judiciary, enabling efficient case management, electronic filing, online access to case status, and digital record-keeping to expedite the judicial process.
