MCQs on Economy & Business: RBI Policy, Green Hydrogen PLI

1.

What is 'Green Hydrogen' primarily produced using?

A Natural gas and coal.

B Renewable energy sources like solar and wind power to split water.

C Nuclear fission.

D Biomass gasification.

2.

The new PLI scheme for Green Hydrogen aims to achieve which of the following objectives?

A To increase the import of fossil fuels.

B To promote the manufacturing of Green Hydrogen and its associated electrolyzer industry.

C To discourage renewable energy adoption.

D To reduce government spending on energy infrastructure.

3.

What does PLI stand for in the context of the government's new scheme for Green Hydrogen manufacturing?

A Production Linked Incentive

B Public Lending Initiative

C Progressive Logistics Investment

D Policy for Local Industry

4.

Which of the following is NOT typically considered a 'global headwind' that the RBI MPC might consider when setting monetary policy?

A Geopolitical tensions impacting supply chains.

B Fluctuations in global commodity prices.

C Domestic agricultural output.

D Interest rate decisions by major central banks like the US Federal Reserve.

5.

What is the primary objective of the Monetary Policy Committee (MPC) as mandated by the Reserve Bank of India Act, 1934?

A To manage the country's foreign exchange reserves.

B To maintain price stability while keeping in mind the objective of growth.

C To regulate the issuance of bank notes.

D To oversee the functioning of the banking system.

6.

The Reserve Bank of India's Monetary Policy Committee (MPC) recently decided to maintain the status quo on which key policy rate?

A Reverse Repo Rate

B Bank Rate

C Marginal Standing Facility (MSF) Rate

D Repo Rate

Economy & Business MCQs - 2026-05-05