Statement: Exporters in the capital are alleging that commercial banks are…
2023
Statement: Exporters in the capital are alleging that commercial banks are violating a Reserve Bank of India directive to operate a post-shipment export credit denominated in foreign currency at international rates from January this year.
Courses of Action:
The officers concerned in the commercial banks are to be suspended.
The RBI should be asked to stop giving such directives to commercial banks.
- A.
Only I follows
- B.
Only II follows
- C.
Either I or II follows
- D.
Neither I nor II follows
Attempted by 98 students.
Show answer & explanation
Correct answer: D
The statement indicates that exporters are alleging violations of RBI directives by commercial banks. Course I suggests suspending officers immediately, but this is too drastic without an official inquiry or concrete proof of guilt. Course II suggests stopping RBI directives, which undermines the regulatory framework meant to support exporters and manage economic issues. Since both courses are either too extreme or counterproductive, neither logically follows.