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Which of the following is directly not impacted the Current Account Balance in India?
Fiscal deficit
Net Income from Abroad
Foreign Aid
Trade Gap
- Fiscal Deficit: Generally refers to when a government’s total expenditures exceed the revenue that it generates, excluding money from borrowings. It doesn't directly affect the Current Account Balance, which is more concerned with international trade and finance.
- Net Income from Abroad: Part of current account, includes earnings from foreign investments and compensation to employees abroad.
- Foreign Aid: Can impact capital account or current transfers section of the current account. It can indirectly influence the current account, but it's not as direct.
- Trade Gap: Directly affects the current account balance as it involves exports and imports of goods and services.
- Correct Answer: Fiscal Deficit (Option: 1)
By: santosh ProfileResourcesReport error
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