UPSC Prelims Practice Questions — Two Key Interventions Launched to Strengthen MSME Exports under Export Promotion Mission
Q1. Under the Export Promotion Mission approved by the Union Cabinet, which one of the following best describes the 'Niryat Protsahan' sub-scheme?
- A. A sub-scheme providing non-financial, market-access and ecosystem enablers such as trade fairs, branding and quality certification support
- B. A sub-scheme providing financial enablers and trade-finance support, including interest subvention and collateral guarantee for export credit
- C. A digital platform operated by the Directorate General of Foreign Trade for end-to-end application, approval and disbursal of export incentives
- D. A district-level export facilitation cell network for capacity-building of first-time exporters in labour-intensive sectors
Q2. Which one of the following is the nodal implementing agency for the Export Promotion Mission (EPM), under which the sub-schemes NIRYAT PROTSAHAN and NIRYAT DISHA are operationalised?
- A. Export Credit Guarantee Corporation of India (ECGC)
- B. Directorate General of Foreign Trade (DGFT)
- C. Export-Import Bank of India (EXIM Bank)
- D. Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
Q3. In the context of the NIRYAT PROTSAHAN sub-scheme launched in January 2026, the term 'interest subvention' on pre-/post-shipment rupee export credit refers to which one of the following?
- A. A government-borne reduction in the effective rate of interest payable by the eligible exporter to the lending bank on export credit
- B. A complete waiver of interest for the initial tenor of export credit, financed out of the lending bank's own profits
- C. A concessional refinance window provided by the Reserve Bank of India to scheduled commercial banks against their export credit portfolios
- D. A deduction available to exporters under the Income-tax Act on interest paid on working-capital loans linked to exports
Q4. Under the NIRYAT PROTSAHAN sub-scheme of the Export Promotion Mission launched in January 2026, the collateral guarantee support for export credit to MSME exporters is to be operationalised in partnership with which one of the following institutions?
- A. Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
- B. Export Credit Guarantee Corporation of India Limited (ECGC)
- C. National Credit Guarantee Trustee Company Limited (NCGTC)
- D. Deposit Insurance and Credit Guarantee Corporation (DICGC)
Q5. With reference to the Interest Equalisation Scheme (IES) on Pre and Post Shipment Rupee Export Credit (2015–2024), which one of the following was the authority that administered/notified the scheme on behalf of the Government of India, with the Reserve Bank of India serving only as the operational channel to banks?
- A. Directorate General of Foreign Trade (DGFT) under the Department of Commerce
- B. Department of Financial Services under the Ministry of Finance
- C. Department for Promotion of Industry and Internal Trade (DPIIT)
- D. Office of the Development Commissioner, Ministry of Micro, Small and Medium Enterprises
Q6. Which one of the following Union Ministries operationalises the Udyam Registration Portal, the online platform for formal registration of Micro, Small and Medium Enterprises in India?
- A. Ministry of Commerce and Industry
- B. Ministry of Finance
- C. Ministry of Micro, Small and Medium Enterprises
- D. Ministry of Corporate Affairs
Q7. With reference to the Reserve Bank of India's guidelines on export credit, which of the following is/are NOT classified as a form of post-shipment export credit?
- Negotiation of export bills drawn under a Letter of Credit
- Advances granted against export bills sent on collection basis
- Packing credit extended against a confirmed export order or letter of credit
- Advances granted against duty drawback receivable from the Government
- A. 1 and 2
- B. 3 only
- C. 2 and 4
- D. 1, 2 and 4