Foreign Trade of India MCQ pdf | International Trade

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Multiple choice questions of Subject Commerce MCQs Topic Foreign Trade of India MCQ pdf | International Trade ( Foreign Trade of India MCQ pdf | International Trade Quiz ) for Entrances (Entrance Exam) Conducted by different Central and State Universities are given below.

Foreign Trade of India MCQ pdf | MCQ with answers on international trade for online test

1. Foreign Direct Investment (FDD) is investment directly into production in a country by a company Jocated in another country, then which one of the following modes is/are correct about the FDI?

(a) Buying a company in the target country

(b) Expanding operations of an existing business in that Country

(c) Investing in the shares and stocks of a company in the target country

(d) Both ‘a’ and ‘c

Ans. d

2. Which one of the following percentages is the share of the Indian Export in the International Trade?

(a) Less than 1%

(b) More than 1, but less than 3%

(c) More than 3, but less than 5%

(d) More than 5, but less than 7%

Ans. b

3. Foreign exchange and foreign currency in India are governed by

(a) SCRA Act

(c) FEMA Act

(b) Banking Regulation Act

(d) SEBI Act

Ans. c

4. Consider the following statements.

1. India has started the Duty Free Tariff Preference (DFTP) scheme with highly developed countries.

2. Under DFTP Scheme, the beneficiary countries have to submit to the Government of India letters of intent and details of officials authorised to issue the certificates of origin.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. b

5. With reference to Asian Development Bank, consider the following statements.

1. United States has the largest proportion of shares for the voting system.

2. China and India have the same percentage of shares for the voting system.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. d

6. In the context of the bilateral trade negotiation between India and European Commission and European Council

1. European Commission represents the EU in the trade negotiation whereas European Council participates in the legislation of matters pertaining to economic policies of the EU.

2. European Commission comprises the head of States Government of member countries whereas the European Council comprises the persons nominated the European Parliament.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. d

7. Both Foreign Direct Investment (FDI) and Foreign Institutional Investor (FII) are related to investment in country.

Which one of the following statements be represents an important difference between the two?

(a) Fil helps bring better management skills and technology while FDI brings only capital

(b) FIl helps in increasing capital availability in general, while FDI anly targets specific sectors

(c) FDI flows only into the secondary market, while FIl targets primary market

(d) FIl is considered to be more stable than FDI

Ans. b

8. Consider the following statements.

1. India-Japan Comprehensive Economic Partnership Agreement (CEPA) is the India’s third CEPA after Singapore and Korea.

2. India-Japan Comprehensive Economic Partnership Agreement (CEPA) is the India’s first with a developed country.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. a

9. With consider the following statements.

1. On an average, UAE has the high total trade share with India in the five years.

2. China has more total trade share with India than the United States in the five years. reference to India’s International Trade,

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(c) Neither 1 nor 2

Ans. c

10. Consider the following statements.

1. India’s Trade Policy Review (TPR) is carried out every four years.

2. WTO has a mechanism for regular review of the trade policies of member countries.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. c

MCQ with answers on international trade for online test

11. Consider the following statements regarding WIO agreements.

1. Genetically Modified Organisms (GMOS) is covered under the agreement on the application of Sanitary and Phyto-Sanitary Measures (SPS).

2. Under the SPS agreement, the WTO sets constraints member-states’ policies relating to food safety as well animal and plant health from imported pests an diseases. Which of the statements given above is/are correct

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. c

12. Singapore issues refer to four working group set-up during the World Trade Organization Ministerial Conference of 1996 in Singapore. Consider the following.

1. Transparency in government procurement

2. Trade facilitation or customs issues.

3. Trade and investment.

4. Trade and competition.

Which of the issues given above are the main Singapore issues?

(a) 1.2 and 4

(c) 2.3 and 4

(b) 1.3 and 4

(d) All of these

Ans. d

13. Consider the following functions of the Foreign Exchange Management Act (FEMA).

1. EMA restricts activities such as payments made to any person outside India or receipts from them.

2. FEMA imposes restriction on people living in India who carry transactions in foreign exchange or foreign security or who own or hold immovable property.

3. FEMA regulates the exporters to fumish their export details to RBL Which of the statements given above is/are correct?

(c) 2 and 3

(a) Only 1

(b) 1 and 3

(d) All of these

Ans. d

14. Which of these are agencies of United Nations?

1. International Bank for Reconstruction and Development (IBRD).

2. International Finance Corporation (IFC).

3. International Fund for Agricultural Development (IFAD).

4. International Monetary Fund (IMF).

Which of the statements given above are correct?

(a) 3 and 4

(b) 1, 2 and 3

(d) All of these

(c) 2 and 3

Ans. d

15. Consider the following statements.

1. World Trade Organisation (WTO) is an organisation that intends to supervise and liberalise international trade.

2. World Trade Organisation (WTO) is come to exist on 1st January, 1995.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. c

16. .. was established in 1988 to encourage foreign direct investment in developing countries by protecting Investors from non-commercial risks, especially risks of war or repatriation.

(a) International Finance Corporation

(b) International Development Association

(c) Multilateral Investment Guarantee Agency

(d) None of the above

Ans. c

17. Which one of the following institutions is related with the Green/Blue Box Subsidies?

(a) United Nations

(b) World Bank

(c) World Tourism Organisation

(d) World Trade Organisation

Ans. d

18. In December 1995…. was abolished and replaced by World Trade Organisation.

(a) General Agreement on Tariffs and Trade

(b) Country Assistance Strategy

(c) UNCTAD

(d) None of the above

Ans. a

19. Which among the following statements is/are true with regards to WTO membership?

1. All WTO members automatically receive ‘the most favourable nation status’.

2. Over 75% of WTO members are from developing countries and the membership allows them to access the developed markets at lower tariff.

Select the correct answer using the codes given below.

(b) Only 2

(d) Neither 1 nor 2

(a) Only 1

(c) Both 1 and 2

Ans. b

20. In which year was World Bank formed ?

(b) 1956

(d) 1988

(a) 1945

(c) 1960

Ans. a

MCQ on Import and Export with Answers

21. Which of the following countries is not a member of ASEAN?

(a) Brunei Darussalam

(b) Cambodia

(c) Vietnam

(d) India

Ans. d

22. Which one of the following is the final session of the General Agreement on Tariff and Trade (GATT)?

(a) Singapore Session

(c) Washington Session

(b) Geneva Session

(d) Uruguay Session

Ans. d

23. Under the British Rule, . of India’s foreign trade was directed towards Britain.

(a) more than 25%

(c) more than 40%

(b) more than 30%

(d) more than 50%

Ans. d

24. Consider the following modes of participation of

1. participation in management.

2. buying of shares in the stock exchanges.

3. transfer of technology and expertise.

Which of the modes given above is/are involved in FDI?

(a) 1 and 2

(c) 2 and 3

(b) 1 and 3

(d) Only 2

Ans. a

25. Upto 1991, India followed an ‘Inward looking trade strategy’. This strategy aimed at

(a) export promotion and import promotion

(b) export substitution and import promotion export promotion and import substitution

(d) export and import substitution

Ans. c

26. In… high priority industries and in export trading  houses, Foreign Direct Investment (FDD) is allowed upto the extent of 100%

(d) 02

(a) 50

(b) 52

(c) 47

Ans. c

27. Consider the following items.

1. Gems and jewellery

2. Chemicals and related products

3. Engineering goods

4. Textiles

Which of the items given above are the top four items in India’s manufactured exports?

(a) 1, 2 and 3

(c) 2, 3 and 4

(b) 1,2 and 4

(d) All of these

Ans. d

28. Which one of the following countries has the highest share in the world export among the Asian countries?

(a) South Korea

(c) India

(b) Singapore

(d) China

Ans. d

29. Which one of the following international organisation offers political insurance guarantees to help investment by protecting foreign direct investment made in developing countries against political risk?

(a) DIA

(c) IMF

(b) IFC

(d) MIGA

Ans. d

30. Pre 1991, custom duty in India was as high as

(a) 50%

(c) 100%

(b) 75%

(d) 200%

Ans. d

31. The share of agricultural sector in India’s export has fallen because

(a) India’s industrial sector grew, and it started using the agricultural products as its raw material

(b) India’s population grew leading to a substantial rise in the domestic consumption of agricultural produce

(c) Both a’ and b’

(d) None of the above

Ans. c

32. Which one of the following statements is correct about the agreement on Trade Related Aspects of Intellectual Property Rights (TRIPS) of the World Trade Organisation (WTO)?

(a) The patent right is covered under the TRIPS of the WTO

(b) Geographical Indication (GI) certification is enforceable under the TRIPS of the WTO

(c) Copyright is an important component of the TRIPS of WTO

(d) Both ‘a’ and ‘b’

Ans. d

33. Consider the following statements.

1. India’s share in world merchandise exports had started rising fast since 2004.

2. China has more than India in the term of share of international trade.

Which of the statements given above is/are correct?

(b) Only 2

(a) Only 1

(c) Both 1 and2

(d) Neither 1 nor 2

Ans. c

34. TRIPS (Trade Related Aspects of Intellectual Propenty Rights) Agreement is administered by

(a) United Nations Conference on Trade and Development (UNCTD)

(b) United Nations Organisation (UNO)

(c) World Trade Organisation (WTO)

(d) World Blank (WB)

Ans. c

35. Global capital flows to developing countries have increased signficantly during the 90s. In view of the East Asian financial crisis and Latin American experience,

which type inflow is good for the host country?

(a) Commercial Loans

(b) Foreign Direct Investment

(c) Foreign Portfolio Investment

(d) External Corrmercial Borrowings

Ans. b

36. Consider the following statements.

1. Geographical indication is a name or sign used on certain products which corresponds to a specific geographical location or origin.

2. Geographical indication acts as a certification that the product possesses certain qualities or reputation due to its geographical origin.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. c

37. Consider the following statements.

1. Increase in surplus on account of India’s services exports has been a cushioning factor for financing a large part the trade deficit in recent years.

2 Surplus in services exports on an average financed around 40% of merchandise trade deficit in 11th Five Year Plan.

Which of the statements given above is/are correct?

(a) Only 1

(e) Both 1 and2

(b) Only 2

(d) Neither 1 nor 2

Ans. c

38. Consider the following statements about the India’s Look East Policy.

1. It was articulated during the reign of HD Deve Gowda as India’s Prime Minister.

2. It is directed towards South Asian Region.

3. It is about controlling terrorism.

4. It seeks to develop a bond among various countries on the basis of economic cooperation.

Which of the statements given above are correct?

(a) 1 and 2

(b) 1 and 4

(C) 3 and 4

(d) 2 and 4

Ans. d

39. Which one of the following pairs is correctly matched?

(a) Amber subsidies: Subsidies intended to encourage more production

(b) Blue box subsidies: Subsidies provided in the name of

(c) Green box subsidies: Incentives to limit the production

(d) None of above

Ans. a

40. Which one of the following countries has the highest share of composition of exports of agriculture and allied products by major markets in the world?

(a) United States

(c) China

(b) EU

(d) India

Ans. c

41. . came into force in 1956, as an autonomous body. Its main object was to assist private enterprises in developing countries by providing them with risk capital.

(a) Country Assistance Strategy

(b) International Finance Corporation

(c) United National Conference on Trade and Development

(d) None of the above

Ans. b

42. Which of the institutions given above is/are established under Bretton Woods System?

1. International Monetary Fund.

2. International Bank tor Reconstruction and Development.

3. Asian Development Bank.

Select the correct answer using the codes given below.

(a) 1 and 2

(b) 1 and 3

(c) 2 and 3

(d) Only 2

Ans. a

43. Which of the areas given below are mainly funded by the International Development Agency in the developing countries?

1. Infrastructure

2. Education

3. Clean water and sanitation facilities

4. Environmental friendly projects

5. Healthcare

Select the correct answer using the codes given below.

(a) 1,2 and 5

(c) 1, 3, 4 and 5

(b) 1, 2. 3 and5

(d) All of these

Ans. a

44. Consider the following statements.

1. Marrakech Agreement was an agreement signed Marrakech. Morocco to establish the World Trade Organisation.

2. Marrakech Agreement developed out of the General Agreement on Tariffs and Trade.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. c

45. Consider the following statements regarding the NAMA.

1. Tariff reduction is at the core of the negotiations over NAMA.

2. Swiss formula takes into account the tariff profile of the countries while carrying out tariff reductions

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and2

(b) Only 2

(d) Neither 1 nor 2

Ans. c

46. Consider the followings statements. The Indian rupee is fully convertible

1. in respect of current account of BoP.

2. in respect of capital account of BoP.

3. into gold.

Which of the statements given above is/are correct?

(b) 1 and 3

(d) Only 3

(a) 1 and 2

(c) 2 and 3

Ans. d

47. India is the… members of IMF. 

(a) progressive

(c) additional

(b) founder

(d) active

Ans. b

48. Consider the following statements.

1. MMTC has promoted a wholly-owned foreign subsidiary MMTC Transitional Private Limited.

2. MMTC has entered into clean power sector which is environment and eco-friendly.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. c

49. The quotas of all the member countries with IMF are valued in terms of

(a) Special Drawing Rights (SDRs)

(b) dollars

(c) Both ‘a’ and b

(d) in their domestic currency

Ans. c

50. was established in the year 1957 by the Government of India to strengthen the export promotion drive by covering the risk of exporting on credit.

(a) Minerals and Metals Trading Corporation

(b) State Trading Corporation

(c) Export Credit and Guarantee Corporation

(d) None of the above

Ans. b

51. Which one of the following International Institutions has offered concessional loans and grants to the worlds poorest developing countries?

(a) IFC

(b) IDA

(c) IMF

(d) WB

Ans. b

52. Arrange the following summits of SAARC members in order in which these were organised?

1. New Delhi

3. Islamabed

2. Bangalore

4. Kathmandu

Codes (a) 1,3, 4, 2

(c) 2,4, 3, 1

(b) 1,2,3,4

(d) 3, 2, 1,4

Ans. c

53. ….was set up in 1982 by an Act of Parliament for the purpose of financing, facilitating and promoting India’s foreign trade.

(a) Export Credit and Guarantee Corporation

(b) Export-import Bank of India

(c) State Trading Corporation

(d) None of the above

Ans. d

54. Which of the following statement is incorrect?

(a) MMTC was established by the government in 1963

(b) STC plays an important role in the implementation of government’s foreign trade policy

(c) ECGL assists exporters in recovering bad debts

(d) None of the above

Ans. c

55. The objective is of India’s Foreign Trade Policy 2009-2014 is/are

(a) To double India’s share in global merchandise trade by 2020

(b) Simplification of the application procedure for availing various benefits

(c) Both a’ and b

(d) None of the above

Ans.  b

56. Consider the following statements about Indian External Sector.

1. In the Eleventh Five Year Plan, the share of percentage of the export of primary products is more than the manufactured products.

2. The share of the India is half of China in the world export trade.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and2

2) Only 2

(d) Neither 1 ror 2

Ans. d

57. Which one of the following organisations is related with Doha Development Agenda?

(a) International Monetary Fund

(b) World Trade Organisation

(c) World Bark

(d) United Nations Organisation

Ans. b

58. Consider the following statements.

1. BIMSTEC (Bay of Bengal Initiative Multi-Sectoral Technical Economical Cooperation) visualised as a bridging link between ASEAN and SAARC

2. It was formerly known as the Bengal Agreement.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. b

59. Consider the following statements.

1. Multilateral Investment Guarantee Agency is a member of the World Bank Group.

2. Multilateral Investment Guarantee Agency headquartered in Geneva, Switzerland.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Nether 1 nor 2

Ans. a

60. Consider the following statements.

1. In the World Bank, India has more voting power than China.

2. After Voice Reform Phase-2, India has gained significant voting powers in the World Bank.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. b

61. Consider the following statements.

1. Agreement on Agriculture came into effect with the establishment of the WTO at the beginning of 1995.

2. Agreement on the Application of Sanitary ane Phytosanitary Measures came into force with, the establishment of GATT in 1948.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. a

62. The capital of IMF is made up by contribution of the

(a) credit

(c) member nations

(b) deficit financing (

đ) borrowings

Ans. c

63. Consider the following statements.

1. International Bank for Reconstruction and Development has same number of members as that of the International Development Association.

2. International Finance Corporation is the member of the World Bank Group and headquartered in New York, United States,

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Oniy 2

(d) Neither 1 nor 2

Ans. a

64. Atlantic Charter drafted during US President Franklin D Roosevelt’s August 1941 meeting with British Prime Minister, Winston Churchill on a ship in the North Atlantic was the most notable precursor for which one of the following?

(a) World Trade Organisation

(b) World Bank

(c) Bretton Woods System

(d) None of these

Ans. c

65. The G-8 countries include

1. France

2. Germany

4. Italy

6. UK

8. Russia

3. Canada

5. Netheriands

7. US

9. Japan

Select the correct answer using the codes given below.

(a) 1, 2, 3, 4, 5, 6, 8 and 9

(c) 1,2,3,4,6, 7, 8 and 9

(b) 1, 2, 4, 5, 6, 7,8 and 9

(d) 1,2,3, 4, 5. 6, 7 and 9

Ans. c

66. IMF has raised the quota and voting share of India. In which place India has been placed among 184 members of the organisation?

(b) 11th

(d) 13th

(a) 10th

(b) 12th

Ans. b

67. ‘Global Competitiveness Report’ is released by which of the following organisations?

(a) World Trade Organisation

(b) European Union

(c) World Bank

(d) World Economic Forum

Ans. d

68. Consider the following statements.

1 Asian Development Bank (ADB) is a regional development bank established in 1966.

2 Aslan Development Bank (ADB) admits the members of the United Nations Economic and Social Commission for Asia and the Pacific.

Which of the statements given above is/are correct?

(a) Only 1

(b) Only 2

(c) Both and 2

(d) Neither 1 nor 2

Ans. c

69. With reference to India’s International Trade, consider the following statements.

1. For more than a decade. Indian export growth story has been dominated by the services sector.

2. More than 75% of Indian export of services commodities is mainly software services.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. a

70. Consider the following statements.

1. India is one of the first in Asia to recognize the effectiveness of the export processing zone.

2. Asia’s first export processing zone was set-up in Kandla, India in 1965.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. c

71. Which one of the following international financial institutions has offered investment, advisory and asset management services to encourage private sector development in developing countries?

(a) International Monetary Fund

(b) World Bank

(c) International Development Association

(d) International Finance Corporation

Ans. d

72. Which of the pillars given below is/are included in Agreement on Agriculture of the WTO?

1. Domestic support

2. Market access

3. Export subsidies

Select the correct answer using the codes given below

(a) Only 2

(b) 1 and 3

(d) All of these

(c) 2 and 3

Ans. d

73. Consider the following statements.

1. International development agency’s capital is replenished every three years.

2. India is not a member of the international development agency.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. a

74. Who may be the governor of IMF?

(a) Governor of Central Bank of a country

(b) President of a particular country

(c) Both ‘a’ and ‘b’

(d) Neither ‘a’ nor ‘b”

Ans. b

75. A country leaving the membership of IMF can continue its membership with World Bank, if . members of bank give their votes in its favour.

(a) 65%

(b) 75%

(d) 79%

(c) 67%

Ans. c

76. Who is the governor for India in the Asian Development Bank?

(a) Prime Minister

(c) President of India

(b) RBI Governor

(d) Finance Minister

Ans. c

77. Consider the following statements.

1. Asian Development Bank offers hard loans from ordinary capital resource on commercial terms.

2. Asian Development Fund affiliate with the Asian Development Bank extends soft loans from special fund resources with concession conditions.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. c

78. Which of the following pairs is correctly matched, in the context of India’s foreign trade?

(a) Items in the negative list of imports and exports- Restricted goods

(b) Items which require license for imports and exports-Prohibited goods

(c) Permit issued by custom authorities to export goods-Custom permit

(d) None of the above

Ans. b

79. Arrange the following in chronological order about acts to regulate industries and foreign exchange in India. ‘

1. Foreign Exchange Management Act

2. Industrial Development and Regulation Act

3. Monopolies and Restrictive Trade Policies Act

4. Foreign Exchange Regulation Act

Codes (a) 3,2, 4. 1

(c) 2, 4, 3, 1

(b) 2, 3, 4, 1

(d) 1, 4, 2,3

Ans. d

80. Voting rights in the IMF are distributes on the basis of

(a) one country, one vote

(b) proportion to the share of the income of the country to the world income

(c) inproportion to contributions given to each country

(d) inproportion to the quota allotted to the countries from time to time

Ans. d

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81. Which of the following is used for international money transfer?

(a) RTGS

(c) SWIFT

(b) NEFT

(d) None of these

Ans. c

82. Which one the following countries has the highest export-import ratio of international trade with India in the last five years?

(a) UAE

(c) United States

(b) China

(d) Japan

Ans. c

83. Which one of the following major markets/countries bas the, highest share of composition of exports of ores and minerals in the world?

(a) United States

(c) Brazil

(b) India

(d) China

Ans. d

84. Which one of the institutions publish the report of ‘world investment report’?

(a) World Bank

(b) IMF

(c) UNCTAD

(d) WTO

Ans. c

86. Consider the following statements related to World Bank organisations, IBRD and IDA.

1. India use IEA funds on social sector.

2 India use IBRD funds on infrastructure development:

3. IBRD loans are cheaper than IDA loans.

Which of the statements given above is/are correct?

(a) Only 1

(b) Both 1 and 2

(b)Only 2

(d) 2 and 3

Ans. c

87. Consider the following objectives of the Bretton-Woods System.

1. To maintain the exchange rate by tying its currency to the US dollar

2. To bridge temporary imbalances of payments.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. c

88. Which one of the following countries has the highest percentage of voting power in the World Bank?

(a) Japan

(b) China

(c) Linited Sitates

(d) Germany

Ans. c

89. Which one of the following group of countries has formed the NAMA-11 of World Trade Organisation?

(a) Developed countries

(c) Developing countries

(b) Least developing countries

(d) None of these

Ans. c

90. Regarding the International Monetary Fund (IMF), which one of the following statement is correct?

(a) It can grant loans to any country

(b) It can grant loans to only developing countries

(c) It can grant loans to only member countries

(d) It can grant loans to the Central Bank of a country

Ans. c

91. In terms of economy. the visit by foreign nations to witness the XIX Common Wealth Games in India amounted to

(a) export

(c) production

(b) import

(d) consumption

Ans. a

92. Consider the following statements.

1. International centre for settlement of investment disputes is an institution of the World Bank Group.

2. International centre disputes provides facilities for the conciliation and arbitration of investment disputes between member countries and individual investors. for settlement of investment

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. c

93. Consider the following statements.

1. All members of the International Monetary Fund are the members International Bank for Reconstruction and Development.

2. International Monetary Fund quota is the maximum amount of financial resources that a country is obligated to contribute to the fund and determines the allotment of Special Drawing Right to the country.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. c

94. Consider the following statements about the Special Drawing Rights.

1. SDRS are international foreign exchange reserve assets allocated to the nations by the World Bank.

2. SDR. represents a claim to foreign currencies for which may be exchanged in times of need.

Which of the statements given above is/are correct?

(a) Only 1

(c) Both 1 and 2

(b) Only 2

(d) Neither 1 nor 2

Ans. b

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97. Consider the following statements.

1. WTO has 199 members representing less than 50% of world’s total trade.

2. WTO’s headquarters is at the Centre William Rappard. Geneva.

3. WTO is governed by a ministerial conference meeting every 2 years.

Which of the statements given above are correct?

(a) 1 and 2

(c) 2 and 3

(b) 1 and 3

(d) All of these

Ans. c

98. Which one of the following countries is the first borrower of fund from the International Monetary Fund?

(a) United States

(b) France

(c) Spain

(d) India

Ans. b

99. Which one of the following export items of India has the highest share in the world in the last 5 years ?

(a) Diamonds

(b) Oil-cake and other solid residues

(c) Ferro-alloys

(d) Footwear with outer soles of rubber plastic and leather

Ans. a

100. How is the United Nation Monetary and Financial Conference, where in the agreements were signed to set-up IBRD, GATT and IMF, commonly known?

(a) Bandug Conference

(c) Versailles Conference

(b) Bretton Woods Conference

(d) Yalta Conference

Ans. d

101. DFEC stands for

(a) Direct Foreign Exchange Control

(b) Direct Finance Exchange Contral

(c) Duty Free Export Credit

(d) Duty Free Exchange Credit

Ans. b

102. Which of the items given below is/are included in the NAMA?

1. Manufacturing products

2. Fuel products

3. Fish and fish products

4. Forestry products

5. Mining products

Select the correct answer using the codes given below.

(a) 1 and 5

(c) 1, 2 and 5

(b) 1, 2, 3 and 5

(d) All of these

Ans. d

103. India is not a member of which of the following?

(a) Commonwealth of Independent States

(b) South Asian Association for Regional Cooperation

(c) South Asian Free Trade Agreement

(d) World Trade Organsiation

Ans. a

104. Special Drawing Rights (SDRS) are available at

(a) International Bank for Reconstruction and Development (IBRD)World Bank

(b) International Monetary Fund (IMF)

(c) International Development Association

(d) OECD

Ans. b

105. Which one of the following items has the highest share of India in the World Exports?

(a) Coffee, tea, mate, spices etc

(b) Pearls precious stones, metals, coins etc

(c) Lac, gums, resins, vegetable saps and extracts etc

(d) Vegetable planting materials, vegetable products etc

Ans. c

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