4 Questions
Which parameter is NOT considered when assessing the adequacy of forex reserves?
Current account surplus
How has India accumulated its forex reserves?
Through borrowed capital inflows
What does the text suggest about the nature of India's forex reserves?
They are borrowed and may need to be returned
When did the capital flows reverse in India?
2008–09
Test your knowledge on the assessment of forex reserves and the factors that determine their adequacy. Explore parameters such as import cover, capital inflows, risk profile, and vulnerability to external shocks. Discover how India has built its reserves differently from other countries.
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