Read the given text and answer the following questions: Increase in Equity Limit of Foreign Investment: Equity limit of foreign capital investment has been raised from 40% to 100% percent. In 47 high priority industries foreign direct investment (FDI) to the extent of 100% will be allowed without any restriction. In this regard Foreign Exchange Management Act (FEMA) will be enforced. If the Indian economy is shining at the world map currently, its sole attribution goes to the implementation of the New Economic Policy in 1991. Answer the following Questions: A. List of Sectors reserved for Public Sectors India. B. Indian Government repay the external debt by printing new currency? True/False C. What was the changed limit of FDI? D. What is disinvestment?
Answers
Answer:
Explanation:
A} Arms and ammunition and allied items of defence equipment.
Defence aircraft and warships.
Atomic Energy.
Coal and lignite.
Mineral oils.
Mining of iron ore, manganese ore, chrome ore, gypsum, sulphur, gold and diamond.
B} First of all, the federal government doesn't create money; that's one of the jobs of the Federal Reserve, the nation's central bank. ... Unless there is an increase in economic activity commensurate with the amount of money that is created, printing money to pay off the debt would make inflation worse. false
C} In September 2021, the Union Cabinet announced to allow 100% foreign direct investment (FDI) via the automatic route, from the previous 49% in the telecom sector in India, to boost the sector.
D} Divestment or disinvestment means selling a stake in a company, subsidiary or other investments. Businesses and governments resort to divestment generally as a way to pare losses from a non-performing asset, exit a particular industry, or raise money.