46. Foreign Investments in India MCQs for SSC Examination

What does FDI trigger list comprises of _______?

List of country-specific FDI restrictions

List of all FDI proposals

Permissions required to make FDI in India

investors with suspected illegal sources of funds or linkages, sensitive areas (like aviation, telecommunications etc) and sensitive locations (like Jammu & Kashmir) for special scrutiny.

What is the meaning of the “Government Route” in Foreign Investments?

Investments can be made only with prior permission of the Government or Government authorities

Investments can be made only in partnership with the Government or Government Companies

Investment can be made only in the Government Companies

Investment can be made only via a Foreign Government Body in India

From time to time, which among the following body publishes the “Exchange Control Manual” in context with the Foreign Exchange in India?

Foreign Trade Promotion Board

Department of Commerce

Reserve Bank of India

SEBI

What do we call an arrangement whereby an issuing Bank at the request of the Importer (Buyer) undertakes to make payment to the exporter (Beneficiary) against stipulated documents?

Bill of Exchange

Letter of Exchange

Letter of Credit

Bill of Entry

Foreign Direct Investment(FDI) and Foreign Institutional Investment(FII) are distinct in terms of?

FDI brings capital, technology & management and FII brings only capital

FDI targets specific sectors and FII help in increasing foreign capital availability

FII is considered more stable

FII targets both primary and secondary market while FDI targets only primary.