Question

What effect does an increase in foreign investment in India have on the exchange rate of the rupee?

A It leads to depreciation of the rupee.
B It has no effect on the rupee's value.
C It leads to appreciation of the rupee.
D It causes the rupee to fluctuate wildly.
E It increases the fixed exchange rate value of the rupee.
Practice Next

Hey! Ask a query

🎓
Think You're Ready for RBI Grade B?
RBI Grade B 2026 Phase 1 Memory Based Paper
  • 200 Questions with Detailed Solutions
  • Section-wise Coverage (GA, English, Quant & Reasoning)