Q. Consider the following statements: The Indian rupee is fully convertible
I. in respect of Current Account of Balance of Payment.
II. in respect of Capital Account of Balance of Payment.
III. into gold.
Which of these statements is/are correct?
Answer: I alone
Notes: In respect of current account of balance of payment, the indian rupee is partially convertible after 1991.
The convertibility of a currency such as Rupee has different meanings in different times. In existing standards, it means that the country’s currency becomes convertible in foreign exchange and vice versa in the market.

This question is part of UPSC Daily 20 MCQ Series Course on GKToday Android app.