According to the Economic Survey 2020-21, imports are expected to decline by ______ in the second half of FY21.
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 1 i.e. 11.3%.
- Exports are expected to decline by 5.8 per cent and imports by 11.3 per cent in the second half of the year.
- India is expected to have a Current Account Surplus of 2 per cent of GDP in FY21, a historic high after 17 years.
- India remained a preferred investment destination in FY 2020-21 with FDI pouring in amidst global asset shifts towards equities and prospects of quicker recovery in emerging economies:
- Net FPI inflows recorded an all-time monthly high of US$ 9.8 billion in November 2020, as investors’ risk appetite returned.
- India was the only country among emerging markets to receive equity FII inflows in 2020.