Economy & Business MCQs

Stricter norms, often involving enhanced disclosure requirements and due diligence, are typically aimed at improving transparency in the market and ensuring that investors have adequate information to make informed decisions, thereby reducing information asymmetry.

A primary objective of the RBI's updated digital lending framework is to curb predatory lending practices and ensure that digital lenders do not impose unfair charges or engage in opaque loan terms, thereby protecting consumers.

The RBI's framework mandates that DLEs must obtain explicit consent from customers before collecting any sensitive personal data. This is a crucial step towards protecting customer privacy and preventing misuse of data.

The RBI's enhanced digital lending framework emphasizes transparency by requiring lenders to disclose the all-in cost of loans, including all fees and charges, upfront to the borrower. This helps consumers make informed decisions.

The PLI scheme for green energy components typically focuses on promoting manufacturing of items like solar panels, batteries, and other renewable energy technologies.

The expansion aims to build a robust domestic manufacturing ecosystem for green energy components, thereby fostering self-reliance and reducing reliance on imports.

The government has expanded the PLI scheme to encourage domestic manufacturing of components crucial for the green energy sector, aligning with renewable energy goals.

The Monetary Policy Committee (MPC) is responsible for setting the policy repo rate to achieve the inflation target.

The repo rate is the rate at which the RBI lends money to commercial banks, and it is a key tool for monetary policy. In October 2026, it was maintained at 6.5%.

The RBI's Monetary Policy Committee (MPC) in its October 2026 review decided to keep the repo rate unchanged at 6.5%.