Economy & Business MCQs

The RBI maintains the repo rate to balance inflation control while ensuring adequate liquidity to support economic growth.

The Monetary Policy Committee (MPC) is a statutory body under the RBI Act, 1934, responsible for fixing the benchmark interest rate in India.

The RBI's mandated inflation target is 4% with a +/- 2% tolerance band. A projection of 4.5% is very close to the 4% mid-point, indicating a move towards the desired target.

The term "easing" explicitly indicates a projected reduction or moderation in the inflation rate, implying a decrease in inflationary pressures.

The Reserve Bank of India (RBI) projects inflation to ease to 4.5% in FY25.

Maintaining a robust GDP growth forecast at 7.2% suggests the RBI's confidence in the stability and strength of domestic economic conditions.

The Reserve Bank of India (RBI) is the institution that maintained the GDP growth forecast at 7.2% for FY25.

The Reserve Bank of India (RBI) has maintained its GDP growth forecast for FY25 at 7.2%.

By incentivizing domestic production, the PLI scheme aims to reduce import dependence, create jobs, and make India a global manufacturing hub, thereby enhancing self-reliance and competitiveness.

Advanced electronics manufacturing typically involves high-tech components like semiconductors, display units, and other critical electronic components.