Economy & Business MCQs: RBI Policy, Export Scheme 2026

81.

What is the primary objective of a new export promotion scheme launched for Micro, Small, and Medium Enterprises (MSMEs)?

A To reduce domestic consumption

B To increase imports of raw materials

C To boost the export competitiveness and volume of MSMEs

D To discourage foreign investment

82.

What does 'evolving inflation dynamics' refer to in the context of the RBI's decision on the repo rate?

A A stable and predictable inflation rate

B Changes and uncertainties in the factors influencing inflation

C A consistent decline in commodity prices

D A guaranteed decrease in interest rates

83.

When the RBI maintains the repo rate, it generally indicates a stance of:

A Aggressive monetary tightening

B Significant monetary easing

C Neutral or cautious monetary policy

D Fiscal stimulus

84.

What is the primary tool used by the Reserve Bank of India (RBI) to control inflation and manage liquidity in the economy?

A Fiscal Deficit

B Repo Rate

C Balance of Payments

D Gross Domestic Product (GDP)

85.

Which of the following is a tool used by the RBI to implement its monetary policy?

A Fiscal Deficit Management

B Repo Rate

C Government Bond Issuance

D Trade Balance Adjustment

86.

When the RBI adopts a 'hawkish' monetary policy stance, what is it typically aiming to do?

A To lower interest rates and stimulate borrowing.

B To increase the money supply and encourage spending.

C To combat inflation by potentially raising interest rates or reducing liquidity.

D To maintain a neutral stance without significant policy changes.

87.

What does the RBI's 'Monetary Policy Stance' primarily indicate?

A The current level of foreign exchange reserves.

B The central bank's approach and direction towards managing inflation and economic growth.

C The number of new bank licenses issued in a year.

D The total amount of government debt.

88.

Which component of the CPI basket typically has the largest weightage and significantly influences retail inflation trends in India?

A Housing

B Food and Beverages

C Clothing and Footwear

D Education

89.

What is the primary objective of the Reserve Bank of India (RBI) regarding inflation?

A To maintain a high rate of inflation to stimulate economic growth.

B To keep inflation within a specified target range to ensure price stability.

C To encourage deflation to increase the purchasing power of money.

D To allow inflation to fluctuate freely based on market forces.

90.

Which index is primarily used to measure retail inflation in India?

A Wholesale Price Index (WPI)

B Consumer Price Index (CPI)

C Index of Industrial Production (IIP)

D Gross Domestic Product (GDP) Deflator