There has been a persistent deficit budget year after year. Which action/actions of the following can be taken by the Government to reduce the deficit? 1. Reducing revenue expenditure 2. Introducing new welfare schemes 3. Rationalizing subsidies 4. Reducing import duty Select the correct answer using the code given below.
- A. 1 only
- B. 2 and 3 only
- C. 1 and 3 only
- D. 1, 2, 3 and 4
Answer: C
Explanation
In August 2015, Reserve Bank of India granted ‘in-principle’ approval to 11 applicants to start payments banks. These include Reliance Industries, Airtel M Commerce Services, Tech Mahindra, Vodafone m- pesa, Aditya Birla Nuvo, Department of Posts, Cholamandalam Distribution Services, Fino PayTech, PayTm, National Securities Depository Ltd (NSDL) and Sun Pharma. They can issue debit cards but not credit cards.FDI of 74% is allowed in these banks.