UPSC Prelims Practice Questions — BRICS Finance Ministers, bank heads flag ‘unilateral imposition’ of tariffs
Q1. As of the BRICS Finance Ministers and Central Bank Governors (FMCBG) joint statement issued on 11 September 2026, how many FMCBG meetings had been convened under India's BRICS Chairship of 2026?
- A. One meeting, held in Jaipur
- B. Two meetings, held in Jaipur and Mumbai
- C. Three meetings, held in Jaipur, Mumbai and New Delhi
- D. Four meetings, held in New Delhi, Jaipur, Mumbai and Gurugram
Q2. Consider the following statements regarding the BRICS Finance Ministers and Central Bank Governors (FMCBG) joint statement of September 2026 as compared with the earlier FMCBG statement of July 2026:
1. The first FMCBG meeting of the 2026 cycle was hosted at Jaipur, while the meeting immediately preceding the September 2026 statement was hosted at Mumbai.
2. Unlike the July 2026 statement, the September 2026 statement expressly named the United States as the source of the extraordinary tariffs being flagged.
3. Both statements voiced 'serious concerns' over unilateral tariff and non-tariff measures affecting the multilateral trading system.
Which of the statements given above is/are correct?
- The first FMCBG meeting of the 2026 cycle was hosted at Jaipur, while the meeting immediately preceding the September 2026 statement was hosted at Mumbai.
- Unlike the July 2026 statement, the September 2026 statement expressly named the United States as the source of the extraordinary tariffs being flagged.
- Both statements voiced 'serious concerns' over unilateral tariff and non-tariff measures affecting the multilateral trading system.
- A. 1 and 3 only
- B. 1 and 2 only
- C. 2 and 3 only
- D. 1, 2 and 3
Q3. Which one of the following was adopted as the overarching theme of India's BRICS Chairship of 2026?
- A. Strengthening Global South Cooperation for a More Inclusive and Sustainable Governance
- B. BRICS: Building Responsive, Inclusive and Collective Solutions
- C. Building for Resilience, Innovation, Cooperation and Sustainability
- D. Energy for All: Partnership for Accelerated and Inclusive Growth
Q4. Consider the following statements about India's BRICS Chairship of 2026 in relation to its earlier turns as chair and to the sequence of 2026 events:
1. India assumed the BRICS Chairship with effect from 1 January 2026, this being its fourth turn as chair of the grouping.
2. The 18th BRICS Summit under this Chairship was scheduled to be held in New Delhi in September 2026.
3. The 16th BRICS Trade Ministers' Meeting of 2026 was hosted at New Delhi, whereas the Tenth BRICS Industry Ministers' Meeting of the same year was hosted at Jaipur.
Which of the statements given above is/are correct?
- India assumed the BRICS Chairship with effect from 1 January 2026, this being its fourth turn as chair of the grouping.
- The 18th BRICS Summit under this Chairship was scheduled to be held in New Delhi in September 2026.
- The 16th BRICS Trade Ministers' Meeting of 2026 was hosted at New Delhi, whereas the Tenth BRICS Industry Ministers' Meeting of the same year was hosted at Jaipur.
- A. 1 only
- B. 2 and 3 only
- C. 1 and 2 only
- D. 1 and 3 only
Q5. Egypt, Ethiopia, Iran and the United Arab Emirates acquired full membership of BRICS with effect from which one of the following dates?
- A. 1 January 2023
- B. 1 January 2024
- C. 1 January 2025
- D. 1 January 2026
Q6. In the context of BRICS, the expression 'Partner Country' refers to which one of the following?
- A. A State that has applied for full BRICS membership and has been placed on a formal waiting list pending unanimous approval at the succeeding Summit of the grouping
- B. A State outside the grouping which is nevertheless entitled to draw upon the Contingent Reserve Arrangement swap lines on the same terms as full members of BRICS
- C. A State admitted to a category, operationalised in 2025, that permits association with BRICS processes without full membership, ten States having joined it in that year
- D. A State which has subscribed to the capital of the New Development Bank but which does not take part in the political and ministerial tracks of the grouping
Q7. Consider the following statements about the New Development Bank as compared with other multilateral development banks:
1. It was established by an agreement concluded at the Sixth BRICS Summit held at Fortaleza in July 2014 and is headquartered at Shanghai.
2. Bangladesh, the United Arab Emirates, Egypt and Uruguay have been admitted to its membership in addition to the founding BRICS members.
3. Unlike the World Bank, it was set up with an initial authorised capital of US$50 billion, which was doubled only after it became operational.
Which of the statements given above is/are correct?
- It was established by an agreement concluded at the Sixth BRICS Summit held at Fortaleza in July 2014 and is headquartered at Shanghai.
- Bangladesh, the United Arab Emirates, Egypt and Uruguay have been admitted to its membership in addition to the founding BRICS members.
- Unlike the World Bank, it was set up with an initial authorised capital of US$50 billion, which was doubled only after it became operational.
- A. 1 only
- B. 1 and 2 only
- C. 2 and 3 only
- D. 1, 2 and 3
Q8. The India Regional Office of the New Development Bank is being established at a location that is also India's first International Financial Services Centre. This location is:
- A. GIFT City, Gandhinagar, Gujarat
- B. Bandra Kurla Complex, Mumbai, Maharashtra
- C. HITEC City, Hyderabad, Telangana
- D. Rajarhat New Town, Kolkata, West Bengal
Q9. With reference to the financial and payments architecture of BRICS, consider the following:
1. Contingent Reserve Arrangement — a treaty-based facility enabling members to support one another through currency swaps against short-term balance of payments pressures
2. BRICS Payment Task Force — the mechanism referenced in 2026 for developing practical solutions for cross-border payments in local currencies
3. BRICS Invoice Discounting Mechanism — a proposal that BRICS trade ministers agreed to study under the Jaipur Consensus of 2026
4. BRICS Special Drawing Rights Facility — a common reserve currency already issued by the New Development Bank to its member central banks
Which of the above is/are correctly identified?
- Contingent Reserve Arrangement — a treaty-based facility enabling members to support one another through currency swaps against short-term balance of payments pressures
- BRICS Payment Task Force — the mechanism referenced in 2026 for developing practical solutions for cross-border payments in local currencies
- BRICS Invoice Discounting Mechanism — a proposal that BRICS trade ministers agreed to study under the Jaipur Consensus of 2026
- BRICS Special Drawing Rights Facility — a common reserve currency already issued by the New Development Bank to its member central banks
- A. 1 and 2 only
- B. 1, 2 and 3 only
- C. 2, 3 and 4 only
- D. 1, 3 and 4 only
Q10. Consider the following pairs of BRICS members and their individual commitments under the Treaty establishing the BRICS Contingent Reserve Arrangement:
1. China — US$41 billion
2. India — US$18 billion
3. South Africa — US$5 billion
4. Brazil — US$10 billion
Which of the above pairs is/are NOT correctly matched?
- China — US$41 billion
- India — US$18 billion
- South Africa — US$5 billion
- Brazil — US$10 billion
- A. 1 and 3
- B. 2 and 4
- C. 3 only
- D. 4 only
Q11. Within the Government of India, matters relating to international trade and India's negotiating engagement at the World Trade Organization are handled by which one of the following as the nodal department?
- A. The Department of Economic Affairs under the Ministry of Finance, which also handles India's engagement with the Bretton Woods institutions
- B. The Department for Promotion of Industry and Internal Trade under the Ministry of Commerce and Industry, which handles industrial policy and internal trade
- C. The Department of Commerce under the Ministry of Commerce and Industry, which houses the Trade Negotiations Management Wing
- D. The Department of Revenue under the Ministry of Finance, which administers customs tariffs through the Central Board of Indirect Taxes and Customs
Q12. Consider the following statements regarding 'Emerging Markets and Developing Economies' (EMDEs), the group cited in the BRICS statement as worst affected by unilateral tariff and non-tariff measures:
1. The International Monetary Fund's World Economic Outlook divides the world into two major groups, namely advanced economies and emerging market and developing economies.
2. Membership of the EMDE group is determined by strict criteria based exclusively on per capita income, applied uniformly and without change since the group was constituted.
3. Within the EMDE group, economies are further classified by analytical criteria reflecting the composition of export earnings and a distinction between net creditor and net debtor economies.
4. All members of BRICS are necessarily classified as advanced economies, since the grouping as a whole accounts for the entire growth of world output.
Which of the statements given above is/are NOT correct?
- The International Monetary Fund's World Economic Outlook divides the world into two major groups, namely advanced economies and emerging market and developing economies.
- Membership of the EMDE group is determined by strict criteria based exclusively on per capita income, applied uniformly and without change since the group was constituted.
- Within the EMDE group, economies are further classified by analytical criteria reflecting the composition of export earnings and a distinction between net creditor and net debtor economies.
- All members of BRICS are necessarily classified as advanced economies, since the grouping as a whole accounts for the entire growth of world output.
- A. 1 and 3
- B. 2 and 4
- C. 1, 2 and 4
- D. 3 only