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      Question

      What was the primary reason for the Reserve Bank of

      India’s record $20.2 billion dollar sale in November 2024?
      A To fund government expenditures Correct Answer Incorrect Answer
      B To stabilize the rupee amid FPI outflows Correct Answer Incorrect Answer
      C To increase its forex reserves Correct Answer Incorrect Answer
      D To support infrastructure projects Correct Answer Incorrect Answer
      E To offset inflation in the domestic market Correct Answer Incorrect Answer

      Solution

      The RBI sold $20.2 billion to stabilize the rupee due to significant Foreign Portfolio Investment (FPI) outflows.

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