UPSC Prelims Practice Questions — Remittances anchor the rupee, India’s external balances
Q1. According to the Economic Survey and RBI data, what was India's total inward remittance inflow in FY 2024-25?
- A. USD 89.1 billion
- B. USD 118.7 billion
- C. USD 125.0 billion
- D. USD 135.4 billion
Q2. With reference to the Reserve Bank of India's Sixth Round of India's Remittances Survey (covering 2023-24), consider the following countries:
1. United States
2. United Kingdom
3. Germany
4. Singapore
Which of the above are correctly identified as among the top five source countries of inward remittances to India?
- United States
- United Kingdom
- Germany
- Singapore
- A. 1 and 2 only
- B. 1, 2 and 4
- C. 2, 3 and 4
- D. 1, 3 and 4
Q3. In the classification of India's Balance of Payments, inward private remittances from non-resident Indians are recorded under which one of the following heads?
- A. Current Account — Private Transfers (Invisibles)
- B. Capital Account — Unilateral Transfers
- C. Financial Account — Other Investments
- D. Current Account — Services Receipts
Q4. With reference to the shift between the earlier and the latest (Sixth) Round of the RBI's India's Remittances Survey, consider the following statements:
1. The share of Gulf Cooperation Council (GCC) countries in India's inward remittances declined from 46.7% in 2016-17 to 37.9% in 2023-24.
2. The United States replaced the United Arab Emirates as the single largest source country of remittances to India.
3. Maharashtra overtook Kerala as the largest State-wise recipient of inward remittances.
Which of the statements given above are correct?
- GCC share fell from 46.7% (2016-17) to 37.9% (2023-24).
- US replaced UAE as single largest source country.
- Maharashtra overtook Kerala as the top recipient State.
- A. 1 and 2 only
- B. 2 and 3 only
- C. 1 and 3 only
- D. 1, 2 and 3