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      Question

      The primary objective of the FIT Rank for MSMEs is to:

       
      A Assess compliance with GST regulations Correct Answer Incorrect Answer
      B Facilitate international trade negotiations Correct Answer Incorrect Answer
      C Evaluate the probability of default (PD) for MSMEs Correct Answer Incorrect Answer
      D Replace existing MSME registration systems Correct Answer Incorrect Answer
      E Monitor MSME export volumes Correct Answer Incorrect Answer

      Solution

      Answer: c) Evaluate the probability of default (PD) for MSMEs  
      Explanation: FIT Rank is a risk-ranking model designed to estimate the probability of default (PD) for MSMEs within the next 12 months using financial, income, and trade data.  

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