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Question No. 129Interactive Test Mode
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Q129. What is/are the purpose/purposes of the Government’s ‘Sovereign Gold Bond Scheme’ and ‘Gold Monetization Scheme’? 1. To bring the idle gold lying with Indian households into the economy. 2. To promote FDI in the gold and jewellery sector 3. To reduce India’s dependence on gold imports Select the correct answer using the code given below.

What is/are the purpose/purposes of the Government’s ‘Sovereign Gold Bond Scheme’ and ‘Gold Monetization Scheme’?

  1. To bring the idle gold lying with Indian households into the economy.
  2. To promote FDI in the gold and jewellery sector
  3. To reduce India’s dependence on gold imports Select the correct answer using the code given below.
Select the correct option below (or cross out options to eliminate)

Official Answer Key & Detailed Solution

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Official UPSC Answer KeyUPSC Prelims 2016 • Indian Economy

Correct Answer: Option (C) — 1 and 3 only

Concept & Option Breakdown

Standard Reference Verified

Statements 1 and 3 are correct: The Gold Monetisation Scheme (GMS) and Sovereign Gold Bond (SGB) Scheme aim to mobilize idle gold held by domestic households and institutions, channel it into productive economic use, and reduce reliance on physical gold imports. Statement 2 is incorrect: Promoting Foreign Direct Investment (FDI) in the jewellery sector is not an objective of these schemes.

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Question Specifications & Syllabus Mapping

Examination & YearUPSC Civil Services Preliminary Examination 2016 (Q129)
Paper & Marking SchemeGS Paper I • 2 Marks (-0.66 Negative for incorrect response)
Syllabus Subject & TopicIndian Economy → Indian Economic Planning & Growth
Official Answer KeyOption (C) — 1 and 3 only

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Frequently Asked Questions — UPSC Prelims 2016 Q129

What is the official answer for UPSC Prelims 2016 GS Paper I Question 129 (Indian Economy)?

The official UPSC answer key for this 2016 Indian Economy (Indian Economic Planning & Growth) question is Option (C): "1 and 3 only". Correct attempts carry 2 Marks with -0.66 Negative penalty for wrong answers.

Which UPSC Prelims syllabus topic does this 2016 question belong to?

This question belongs to GS Paper I under the subject "Indian Economy" and micro-topic "Indian Economic Planning & Growth". You can explore all repeated questions from Indian Economic Planning & Growth in Acme AI's 3D Prelims PYQ Realm or practice 50 full-length and sectional tests in the APT Prelims Test Series.

How can I solve this Indian Economic Planning & Growth UPSC Prelims question using option elimination?

To solve Indian Economic Planning & Growth questions in UPSC Prelims, identify extreme modifiers, verify core NCERT conceptual definitions, and eliminate mutually contradictory statement pairs before locking your final option.

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