CUET Economics 2025 27 May Shift 2 PYQs

Arrange the following statements related to foreign exchange market (fixed exchange rate) in correct sequence.

(A) RBI intervenes to purchase the dollars for rupees in the foreign exchange market in order to absorb this excess supply.

(B) The government will fix a higher exchange rate by making the rupee cheaper for foreigners.

(C) Supply of dollars exceeds the demand for dollars.

(D) The Indian government wants to encourage exports.

Choose the correct answer from the options given below:

The Indian government imports 22 Rafael planes from France. In which sub-account and on which side of the Balance of Payments account this transaction will be recorded?

A banking service provided by a country is accounted in the element of the balance of payment.