Question

In India, Liberalization started in the year:

• A. 1981
• B. 1991
• C. 1993
• D. 2001

Hint:

Remember: India's liberalization started in 1991 as a response to an economic crisis, leading to major reforms in trade, industry, and financial markets.

Answer 1

The Correct Option is B

Step 1: Understanding Liberalization
Liberalization refers to the process of reducing restrictions and allowing for greater freedom in the economy, particularly in the context of trade and industry. In India, liberalization was marked by a shift from a closed, protectionist economy to a more open, market-oriented one.

Step 2: The Liberalization of 1991
India's liberalization began in 1991 under the leadership of then Finance Minister, Dr. Manmohan Singh. The government, facing a balance of payments crisis, introduced major economic reforms that included devaluation of the rupee, reduction of tariffs, and privatization of state-owned enterprises.

Step 3: Conclusion
Therefore, liberalization in India started in the year 1991.
The correct answer is option (B).