MCQ 1 – Labour Market Indicators
Q1. India’s urban unemployment rate of 5% (January 2026) was reported under which survey?
A) Economic Census
B) Periodic Labour Force Survey (PLFS)
C) Annual Survey of Industries (ASI)
D) National Family Health Survey (NFHS)
✅ Answer: B) Periodic Labour Force Survey (PLFS)
Explanation:
PLFS, conducted by the National Statistics Office (NSO), provides employment–unemployment indicators.
MCQ 2 – Inflation Metrics
Q2. Wholesale Price Index (WPI) primarily captures:
A) Retail consumer prices
B) Producer / wholesale-level prices
C) Service sector inflation
D) Asset price inflation
✅ Answer: B) Producer / wholesale-level prices
Explanation:
WPI reflects price movements at the wholesale stage, unlike CPI which tracks retail prices.
MCQ 3 – Financial Market Regulation
Q3. OTC foreign exchange and interest rate derivative contracts fall under whose regulatory oversight?
A) SEBI
B) RBI
C) Ministry of Finance
D) IRDAI
✅ Answer: B) RBI
Explanation:
RBI regulates forex and interest rate derivative markets, including reporting norms for AD Cat-I banks.
MCQ 4 – Commodity Derivatives
Q4. Futures contracts based on Indian Natural Gas are regulated by:
A) RBI
B) SEBI
C) Petroleum Ministry
D) Competition Commission
✅ Answer: B) SEBI
Explanation:
Commodity derivatives regulation lies with SEBI following institutional restructuring of market regulators.
MCQ 5 – Startup Financing Mechanism
Q5. Startup India Fund of Funds 2.0 (FoF 2.0) operates through:
A) Direct equity investment
B) Commercial bank loans
C) SEBI-registered Alternative Investment Funds (AIFs)
D) Venture debt issuance
✅ Answer: C) SEBI-registered Alternative Investment Funds (AIFs)
Explanation:
FoF channels capital indirectly via AIFs, which then invest in startups.
MCQ 6 – External Borrowings
Q6. External Commercial Borrowings (ECBs) enable:
A) Sovereign borrowing only
B) Corporate borrowing from foreign lenders
C) Retail foreign investment
D) Multilateral grant funding
✅ Answer: B) Corporate borrowing from foreign lenders
Explanation:
ECBs allow eligible Indian entities to raise funds internationally under RBI guidelines.
MCQ 7 – Fiscal Federalism
Q7. Finance Commission grants to Urban Local Bodies primarily support:
A) Defence modernisation
B) Local governance & municipal services
C) Industrial subsidies
D) External debt servicing
✅ Answer: B) Local governance & municipal services
Explanation:
Grants strengthen municipal infrastructure, sanitation, and local governance functions.
MCQ 8 – Social Welfare Scheme
Q8. PM RAHAT is associated with:
A) Disaster relief
B) Road accident victim treatment
C) Rural pension scheme
D) Health insurance portability
✅ Answer: B) Road accident victim treatment
Explanation:
PM RAHAT ensures assured hospitalization and treatment for road accident victims.
MCQ 9 – Digital Governance & Education
Q9. Integration of AI tools across school education primarily reflects:
A) Military AI expansion
B) Education technology transformation
C) Financial sector automation
D) Judicial digitisation
✅ Answer: B) Education technology transformation
Explanation:
AI adoption links to personalised learning, analytics, and digital pedagogy.
MCQ 10 – Infrastructure Development
Q10. Infrastructure projects worth ₹5,450 crore inaugurated in Assam mainly align with:
A) Coastal security
B) North-East connectivity & strategic preparedness
C) Industrial corridors
D) Defence exports
✅ Answer: B) North-East connectivity & strategic preparedness
Explanation:
Such projects typically aim at logistics integration and regional development.
MCQ 11 – Global Mobility Index
Q11. Henley Passport Index ranks passports based on:
A) Visa processing speed
B) Visa-free / visa-on-arrival access
C) Migration approvals
D) Diplomatic missions
✅ Answer: B) Visa-free / visa-on-arrival access
Explanation:
Measures travel freedom — frequently asked in prelims.
MCQ 12 – Defence Technology
Q12. Advanced Medium Combat Aircraft (AMCA) programme relates to:
A) Ballistic missile defence
B) Indigenous stealth fighter aircraft
C) Naval submarine platform
D) Hypersonic cruise missile
✅ Answer: B) Indigenous stealth fighter aircraft
Explanation:
AMCA represents India’s next-generation fighter aircraft initiative.
MCQ 13 – Biodiversity & Taxonomy
Q13. Diplura, recently seen in news, belong to which category?
A) Reptiles
B) Primitive wingless insects
C) Marine mammals
D) Arachnids
✅ Answer: B) Primitive wingless insects
Explanation:
Diplura often appear in environment & biodiversity questions.
MCQ 14 – Naval Diplomacy
Q14. International Fleet Review (IFR) primarily serves:
A) Combat testing
B) Maritime diplomacy & cooperation
C) Trade negotiations
D) Naval recruitment
✅ Answer:
Month: Current Affairs - Feb 19, 2026
Category: