Current Affairs · Chapter 9 of 22
Economy, Banking and Finance: BPSC Prelims MCQs
80 practice questions on Economy, Banking and Finance. Each one opens to its answer and explanation.
The term "Orange Economy" refers to an economy based on:
- Athe trade in luxury goods
- Bthe farming and processing of citrus fruits
- Ccreativity, culture and intellectual property
- Dmanufacturing industries
Which of the following is NOT part of the Orange Economy?
- AAnimation and gaming
- BSteel manufacturing
- CPublishing and literature
- DDigital content creation
The term "Orange Economy" was made popular by a 2013 book written by:
- AIván Duque and Felipe Buitrago of Colombia
- BRichard Florida and Charlotta Mellander
- CJohn Howkins and Richard Caves
- DMuhammad Yunus and Amartya Sen
The importance of the creative economy was formally recognised at UNCTAD XI in 2004 through the:
- ASão Paulo Consensus
- BMonterrey Consensus
- CDoha Development Agenda
- DNairobi Package
WAVES 2025, the World Audio Visual and Entertainment Summit, was held in:
- ANew Delhi
- BGoa
- CHyderabad
- DMumbai
MuleHunter.AI, developed for the RBI, is used to:
- Aforecast inflation using AI
- Bcatch counterfeit currency notes
- Cdetect "mule" bank accounts used to move money from frauds
- Dcheck the identity of customers through face recognition
A "kill switch", proposed by the RBI, would let customers:
- Acancel a new loan within 30 days
- Bblock their account or card at once in an emergency
- Cstop the transactions of a bank that has failed
- Dswitch banks and keep the same account number
Q-SAFE (Quantum Secure and Adaptive Financial Ecosystem) is an RBI committee chaired by Prof. Anil Prabhakar of IIT Madras. Its purpose is to:
- Aset up a quantum computer at the RBI in Mumbai
- Bregulate crypto-assets and stablecoins
- Cprepare the financial system for quantum computing
- Ddesign the next version of the e-rupee
India's largest automobile Gati Shakti Multi-Modal Cargo Terminal, opened in June 2025, is at:
- AMahindra's plant at Chakan
- BMaruti Suzuki's plant at Manesar
- CTata Motors' plant at Sanand
- DHyundai's plant at Sriperumbudur
The PM Gati Shakti National Master Plan mainly aims to:
- Apromote renewable energy in industrial corridors
- Bdevelop 100 smart cities with central funds
- Craise farm output through irrigation projects
- Dplan infrastructure across all modes of transport together
Which of the following is NOT one of the seven "engines" of PM Gati Shakti?
- ATelecom towers
- BRailways
- CWaterways
- DLogistics infrastructure
Under PM Gati Shakti, Sagarmala and Bharatmala are programmes for, respectively:
- Aairports and railways
- Binland waterways and dry ports
- Cports and roads
- Droads and ports
Consider the following pairs of critical mineral and use:
- 1. Lithium – electric vehicle batteries
- 2. Graphite – battery anodes
- 3. Gallium – semiconductors
- 4. Rare earth elements – permanent magnets
Which of the pairs given above are correctly matched?
- A1 and 2 only
- B1, 2 and 3 only
- C2, 3 and 4 only
- D1, 2, 3 and 4
The National Critical Mineral Mission (NCMM), launched in 2025, has a government outlay of:
- A₹1 lakh crore over six years
- B₹6,003 crore over eight years
- C₹19,744 crore up to 2029–30
- D₹16,300 crore over seven years
How many minerals has India notified as critical minerals?
- A24
- B30
- C17
- D50
Which of the following is NOT in India's list of 30 critical minerals?
- AIron ore
- BLithium
- CTungsten
- DCobalt
Neodymium and dysprosium, two critical minerals, are mainly used in:
- Afuel rods for nuclear reactors
- Bmagnets for wind turbines and electric motors
- Cthin-film solar cells
- Danodes of lithium-ion batteries
Indian Railways' revised logo of May 2026 has how many stars?
- A19
- B17
- C16
- D18
The headquarters of the South Coast Railway, India's 18th railway zone, is at:
- ABhubaneswar
- BVijayawada
- CVisakhapatnam
- DGuntur
The Kimberley Process is associated with:
- Acertification of conflict-free rough diamonds
- Bprotection of mining workers
- Csustainable coal mining
- Dregulation of rare earth minerals
India chaired the Kimberley Process in 2026. Where was its Intersessional Meeting of May 2026 held?
- ANew Delhi
- BJaipur
- CSurat
- DMumbai
For the accounting year 2025–26, the RBI transferred a record surplus to the Central Government of about:
- A₹2.87 lakh crore
- B₹2.11 lakh crore
- C₹2.69 lakh crore
- D₹1.76 lakh crore
The Contingent Risk Buffer (CRB) maintained by the RBI is:
- Athe money the RBI keeps aside for deposit insurance
- Bthe share of deposits that banks keep with the RBI
- Ca reserve against losses from market and other risks
- Dthe gold the RBI holds against the notes it issues
The RBI's surplus transfer is worked out under its Economic Capital Framework, based on the recommendations of the committee headed by:
- ARaghuram Rajan
- BBimal Jalan
- CUrjit Patel
- DY. H. Malegam
The four Labour Codes replaced how many central labour laws?
- A25
- B38
- C44
- D29
Consider the following statements about the Labour Codes:
- 1. The four codes replace 29 labour laws.
- 2. The Code on Wages, 2019 deals with minimum wages, wages and bonus.
- 3. The Code on Social Security, 2020 covers only workers in the organised sector.
- 4. Labour is a subject in the Concurrent List.
Which of the statements given above are correct?
- A1, 2 and 4 only
- B1 and 3 only
- C2, 3 and 4 only
- D1, 2, 3 and 4
The Bharat Maritime Insurance Pool (BMIP) aims mainly to:
- Acut reliance on foreign insurers for ships and cargo
- Binsure major ports against cyber attacks
- Cinsure fishermen against death or injury at sea
- Dgive crop insurance to farmers in coastal districts
According to the IMF's World Economic Outlook of April 2026, India's place among the world's economies by nominal GDP in US dollars was:
- A4th
- B3rd
- C6th
- D5th
Within how many weeks will FDI proposals now be processed?
- A24 weeks
- B12 weeks
- C4 weeks
- D8 weeks
E-PRAAPTI, a portal of the EPFO, helps members to:
- Afile income tax returns
- Btrace and reactivate old or inoperative EPF accounts using Aadhaar
- Capply for a pension under the Atal Pension Yojana
- Dget loans against their provident fund
The RBI cancelled the banking licence of Paytm Payments Bank Ltd with effect from 24 April 2026 under which law?
- ASection 22(4) of the Banking Regulation Act, 1949
- BSection 35A of the Banking Regulation Act, 1949
- CSection 45 of the RBI Act, 1934
- DThe Payment and Settlement Systems Act, 2007
The Central Muga and Eri Research Institute has been set up at:
- ARanchi, Jharkhand
- BBhagalpur, Bihar
- CLahdoigarh, Assam
- DMysuru, Karnataka
OEKO-TEX certification, in the news, applies to:
- Atimber, tested for legal sourcing
- Borganic food, tested for pesticides
- Celectronics, tested for energy use
- Dtextiles, tested for harmful substances
The "Super Sales Saathi" app has been launched by:
- AIRDAI
- Bthe Life Insurance Corporation of India (LIC)
- Cthe National Insurance Company
- Dthe General Insurance Corporation of India
India's first glass-substrate-based advanced semiconductor packaging unit is being set up at:
- ANoida, Uttar Pradesh
- BSanand, Gujarat
- CBhubaneswar, Odisha
- DDholera, Gujarat
The Government of India's stake in LIC is about:
- A74%
- B51%
- C100%
- D96.5%
The National Green Hydrogen Mission, launched in January 2023, aims to produce how much green hydrogen a year by 2030?
- A5 million tonnes
- B10 million tonnes
- C50 million tonnes
- D1 million tonnes
Green hydrogen is produced by:
- Asteam reforming of natural gas with carbon capture
- Bgasification of coal
- Csteam reforming of natural gas
- Delectrolysis of water using renewable electricity
Indonesia announced the rollout of "B50" biofuel, which is:
- A50% coconut oil blended with kerosene
- B50% palm oil biodiesel blended with 50% diesel
- C50% hydrogen blended with natural gas
- D50% ethanol blended with 50% petrol
India's first Namo Bharat regional rapid transit system (RRTS) runs between:
- ADelhi and Panipat
- BMumbai and Pune
- CDelhi and Meerut
- DDelhi and Alwar
Bharat-VISTAAR, launched in February 2026, is:
- Aan AI advisory platform for farmers
- Ba satellite for monitoring crop health
- Ca scheme for building rural warehouses
- Da portal for farm export licences
Which became the first Indian state to launch a Marine Spatial Plan for its coast?
- AOdisha
- BKerala
- CGujarat
- DTamil Nadu
DRISHTI, developed by the Northeast Frontier Railway with IIT Guwahati, uses AI cameras to:
- Adetect cracks and breaks in rails
- Bcount passengers on crowded platforms
- Cspot elephants and other animals near tracks
- Dcheck that freight wagon doors are locked
The National Strategy for Financial Inclusion 2025–30 was unveiled by:
- ASEBI Chairman Tuhin Kanta Pandey
- BNITI Aayog CEO B. V. R. Subrahmanyam
- CRBI Governor Sanjay Malhotra
- DFinance Minister Nirmala Sitharaman
The Sevilla Forum on Debt, launched at UNCTAD 16, is led by:
- AArgentina
- BSpain
- CFrance
- DPortugal
The Financial Stability and Development Council (FSDC) is:
- Aa committee of Parliament chaired by an MP
- Ba non-statutory body chaired by the Finance Minister
- Ca constitutional body set up under Article 280
- Da statutory body chaired by the RBI Governor
The FSDC Sub-Committee, which meets more often than the full council, is chaired by:
- Athe Governor of the RBI
- Bthe Chief Economic Adviser
- Cthe Union Finance Minister
- Dthe Chairman of SEBI
The Payments Regulatory Board (PRB), which regulates payment systems in India, has how many members, and who heads it?
- A4 members, headed by the CEO of NPCI
- B5 members, headed by the Finance Secretary
- C6 members, headed by the RBI Governor
- D9 members, headed by a Deputy Governor of the RBI
The Gohpur–Numaligarh project in Assam will be India's first:
- Afloating road bridge
- Bvertical-lift river bridge
- Ccable-stayed rail bridge
- Dunderwater road-cum-rail tunnel
The B. N. Goldar Committee (Advisory Committee on National Accounts Statistics) is associated with:
- Athe measurement of multidimensional poverty
- Bthe new base year of the WPI series
- Cthe new base year of the CPI series
- Dthe new base year of the GDP series
The new base years of India's main economic series are:
- AGDP 2023–24, IIP 2022–23 and CPI 2023
- BGDP 2022–23, IIP 2022–23 and CPI 2024
- CGDP 2022–23, IIP 2023–24 and CPI 2022
- DGDP 2024–25, IIP 2024–25 and CPI 2024
The new Consumer Price Index (base 2024 = 100) uses weights from which survey?
- AThe Household Consumption Expenditure Survey 2023–24
- BThe Annual Survey of Industries 2022–23
- CThe National Family Health Survey 2019–21
- DThe Periodic Labour Force Survey 2023–24
Which of the following is included in the new CPI series (base 2024) for the first time?
- AFuel and light
- BFood items
- CRural house rent
- DClothing and footwear
The new Wholesale Price Index (base 2022–23) was based on the recommendations of a committee chaired by:
- ADr. Saumitra Chaudhuri
- BProf. Pulak Ghosh
- CProf. B. N. Goldar
- DProf. Ramesh Chand
Which office releases the Wholesale Price Index?
- AThe RBI's Department of Statistics
- BThe Department of Economic Affairs
- CThe Office of the Economic Adviser, DPIIT
- DThe National Statistics Office, MoSPI
In the new WPI series, crude petroleum and natural gas have been moved to which group?
- AFuel and power
- BMinerals
- CManufactured products
- DPrimary articles
Which group has the largest weight in the Wholesale Price Index?
- AFood articles
- BManufactured products
- CFuel and power
- DPrimary articles
Consider the following statements about the Great Nicobar Island project:
- 1. The proposed transshipment port is at Galathea Bay.
- 2. The island is home to the Shompen, a Particularly Vulnerable Tribal Group.
- 3. Campbell Bay and Galathea National Parks are on the island.
- 4. The island lies close to the Strait of Malacca.
Which of the statements given above are correct?
- A1 and 2 only
- B1, 2 and 3 only
- C2, 3 and 4 only
- D1, 2, 3 and 4
Under the Urban Challenge Fund (UCF) of the Ministry of Housing and Urban Affairs, a project's cost is shared as:
- A25% central assistance, 50% from the market, 25% from the state, UT or urban body
- B60% central assistance, 40% from the state
- C50% central assistance, 25% from the market, 25% from the state
- D25% central assistance, 25% from the market, 50% from the state
How many chemical parks were announced in the Union Budget 2026–27?
- AFive
- BThree
- CTwo
- DSeven
Dedicated Rare Earth Corridors announced in the Union Budget 2026–27 will be in which four states?
- ATamil Nadu, Karnataka, Maharashtra and Goa
- BGujarat, Rajasthan, Karnataka and Kerala
- COdisha, Jharkhand, Chhattisgarh and West Bengal
- DOdisha, Kerala, Andhra Pradesh and Tamil Nadu
How many elements are counted as rare earth elements?
- A30: the lanthanides and actinides
- B14: the lanthanides except promethium
- C17: the 15 lanthanides plus scandium and yttrium
- D15: the lanthanides only
World Fisheries Day is observed on:
- A21 November
- B10 July
- C5 June
- D8 June
NUDGE, a campaign of the Central Board of Direct Taxes, encourages taxpayers to:
- Apay their advance tax online on time
- Blink their PAN with Aadhaar
- Cfile their returns before the due date
- Dreport foreign assets and income correctly
Google announced a US$15 billion AI hub and gigawatt-scale data centre campus at:
- AChennai, Tamil Nadu
- BNavi Mumbai, Maharashtra
- CVisakhapatnam, Andhra Pradesh
- DHyderabad, Telangana
The 1,856 MW Sawalkote hydroelectric project is on which river?
- AIndus
- BChenab
- CRavi
- DJhelum
SWAGAT-FI, a proposal of SEBI, aims to:
- Aban foreign investors from commodity markets
- Bset up a fund of funds for foreign start-ups
- Cease compliance for trusted foreign investors
- Dgive tax holidays to new foreign investors
Tex-RAMPS, a central sector scheme for textiles with ₹305 crore, is meant to work as the textile sector's:
- Aresearch, data and planning system
- Bcrop insurance system for cotton farmers
- Cexport subsidy system for handlooms
- Dcredit guarantee system for weavers
ASHA (Anna Sahayata Holistic AI Solution), launched by the Union Ministry of Food and Public Distribution, lets beneficiaries:
- Acheck the status of their ration card
- Bgive feedback on ration distribution
- Corder their food grains online
- Dbook subsidised gas cylinders
The "We Rise" initiative of NITI Aayog's Women Entrepreneurship Platform is run with:
- AUN Women
- Bthe World Bank
- CGoogle
- DDP World
With the "Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Act, 2025", the FDI limit in Indian insurance companies was raised to:
- A74%
- B100%
- C90%
- D49%
Under India's space sector FDI policy, up to what share is allowed on the automatic route for launch vehicles?
- A26%
- B74%
- C49%
- D100%
Consider the following oil fields: I. Digboi, II. Moran, III. Kalol, IV. Naharkatiya. Which of these are in Assam?
- AI, II and IV only
- BI, II and III only
- CI, III and IV only
- DI, II, III and IV
India's first bamboo-based bioethanol plant is at:
- ANumaligarh Refinery, Golaghat, Assam
- BDigboi Refinery, Tinsukia, Assam
- CPanipat Refinery, Haryana
- DBarauni Refinery, Begusarai, Bihar
Which is India's oldest oil refinery, called the "Gangotri of the Indian hydrocarbon sector"?
- AGuwahati (1962)
- BBarauni (1964)
- CKoyali (1965)
- DDigboi (1901)
Under the revised PM SVANidhi scheme, street vendors get collateral-free working-capital loans in tranches of:
- A₹10,000, ₹20,000 and ₹50,000
- B₹20,000, ₹40,000 and ₹60,000
- C₹15,000, ₹25,000 and ₹50,000
- D₹10,000, ₹25,000 and ₹1 lakh
PM SVANidhi, for street vendors, is a scheme of:
- Athe Ministry of Micro, Small and Medium Enterprises
- Bthe Ministry of Housing and Urban Affairs
- Cthe Ministry of Rural Development
- Dthe Ministry of Social Justice and Empowerment
Who is the Executive Director of the IEA, which publishes the World Energy Outlook?
- AAshish Khanna
- BHaitham Al Ghais
- CFrancesco La Camera
- DFatih Birol
Zomato Ltd changed its corporate name in 2025 to:
- AEternal Ltd
- BBlinkit Ltd
- CHyperpure Ltd
- DDistrict Ltd
Which statement about Insurance for All by 2047 is correct?
- AIt is a goal set by IRDAI, the insurance regulator
- BIt was launched by NITI Aayog in 2015
- CIt covers only crop insurance for farmers
- DIt is a Health Ministry scheme of free cover
All 22 chapters of Current Affairs
- Brand Ambassadors70 questions
- Appointments and Leaders54 questions
- International Organisations and Summits74 questions
- World Affairs55 questions
- Awards and Honours81 questions
- Persons in News and Obituaries58 questions
- Books and Authors125 questions
- Polity, Law and Governance66 questions
- Economy, Banking and Finance80 questions
- Schemes, Missions and Initiatives44 questions
- Infrastructure and Transport50 questions
- Science, Technology and Space85 questions
- Environment, Energy and Wildlife83 questions
- First in India83 questions
- First in the World34 questions
- Portals and Apps65 questions
- Places in News and Changed Names70 questions
- Art, Culture and Heritage64 questions
- GI Tags69 questions
- Years, Decades and Words of the Year23 questions
- India's Targets32 questions
- Bihar in the News36 questions