Q. Which of the following are examples of revenue receipts of the Indian Government?

1. Money borrowed from World Bank at low interest rate
2. Interest received by government on loans given to other countries
3. Grants Received from a foreign country
4. Government earns through export of agricultural products

Select the correct option from the codes given below:
Answer: 2, 3 & 4 Only
Notes: The following are examples of revenue receipts of the Indian Government:

2. Interest received by the government on loans given to other countries: When the Indian Government lends money to other countries, the interest received on these loans becomes a revenue receipt.
3. Grants received from a foreign country: Grants received from foreign governments or international organizations for specific projects or development purposes are considered revenue receipts.
4. Government earns through export of agricultural products: When the government earns revenue through the export of agricultural products, such as rice, wheat, fruits, vegetables, etc., it is classified as a revenue receipt.

On the other hand, "Money borrowed from the World Bank at low-interest rates" is an example of a capital receipt, not a revenue receipt. Capital receipts represent the funds raised by the government through borrowing or disinvestment and are not revenue generated from regular activities or transactions.

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