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RBI Grade B Officers 2011 dec Paper
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© examsnet.com
Question : 24
Total: 200
As reported in newspapers, the Market Borrowings of the Union Government have gone up in 2011-12 (upto September 2011). What is the main reason for the same ?
Fixing very high target of growth
Lower than budgeted collection of the revenue
Lower than expected flow of foreign investment
RBI’s reluctance in giving fresh loans to the Government of India for developmental projects
Consistent revision in the limit of the Ways and Means Advances given to the Government of India by the RBI
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Solution:
(2) The need for additional borrowingsarises because of thegovernment’s burgeoning expenditurein the wake of ahuge subsidy bill and expectedshortfall in receipts.
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