Question:
The Rangarajan Panel on 4th June 1993 submitted recommendations related to Balance of Payment (BoP). Which one of the following was NOT a part of the Panel’s recommendations?
The Rangarajan Panel on 4th June 1993 submitted recommendations related to Balance of Payment (BoP). Which one of the following was NOT a part of the Panel’s recommendations?
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Updated On: Oct 1, 2024
- Efforts should be made to replace debt flows with equity flows
- The ratio of debt linked to equity should be limited to 1:4
- The minimum targets for foreign reserves should be fixed in such a way that the reserves are generally in a position to accommodate imports of 3 months
- No sovereign guarantee should be extended to private sector
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The Correct Option is B
Solution and Explanation
The correct answer is (B): The ratio of debt linked to equity should be limited to 1:4
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