UPPCS Prelims 2021 · GS Paper I: Among the following countries India's trade Balance surplus is maximum with which country in…
Among the following countries India's trade Balance surplus is maximum with which country in 2019-20 ?
Answer (a) & explanation
Option (a), the USA, is correct. In 2019-20 India's largest trade surplus was with the United States, about US$ 17 billion, as India exported more goods (pharmaceuticals, gems, textiles, engineering goods) than it imported. China (b) was where India had its largest trade deficit, nearly US$ 49 billion. Japan (c) is also a deficit partner. With the UAE (d), trade was large but the surplus was smaller. Concept: the US was India's largest trading partner in 2021-22 and again in recent years, displacing China. US tariffs of up to 50% on Indian goods from August 2025 strained trade, and both sides have been negotiating a trade deal.
China is India's biggest trade deficit; the largest surplus was with the USA.
Question as printed in UPPSC's official question booklet. Source: uppsc.up.nic.in
Same theme in UPPCS Mains
- MAINS UPPCS Mains 2025 · GS Paper II · Section B · Q20To what extent can India’s Free Trade Agreements (FTAs) with various countries help mitigate the adverse effects of the US trade policies on India’s exports ?…
- MAINS UPPCS Mains 2019 · GS Paper II · Section B · Q15Discuss the impact of climate change on developing countries.
- MAINS UPPCS Mains 2019 · GS Paper III · Section A · Q9Define Biodiversity. Why are tropical countries rich in biodiversity? Explain.
Same theme in UPSC Mains
- MAINS UPSC Mains 2026 · GS Paper IV · Q2bDiscuss how national security can be balanced with concerns of human rights.
- MAINS UPSC Mains 2026 · GS Paper III · Q13How Indian agriculture has been transformed from food scarcity to food surplus level? Explain the various government policies implemented for diversification of Indian agriculture.
Related questions from other years
Which one of the following correctly represents the three key sub-indices of the Financial Inclusion Index (FI-Index) of the Reserve Bank of India (RBI) ?
Answer (c) & explanation
The sub-indices are Access, Usage and Quality (c). The RBI launched the FI-Index in August 2021. It covers banking, investments, insurance, postal services and pension, and gives one value between 0 and 100. Its three parameters are Access (35%), Usage (45%) and Quality (20%). Options (a), (b) and (d) list areas or ideas that are not its sub-indices; GDP contribution and affordability are not parameters.
Notice the logic: usage has the most weight, because an account that is never used does not mean real inclusion. Quality includes financial literacy and consumer protection. The index is published every July, and it has risen steadily, helped by Jan Dhan (2014) and UPI.
Answer as per the official UPSC answer key.
Which one of the following best describes the key objective of India's 'Open Network for Digital Commerce' (ONDC) initiative ?
Answer (c) & explanation
ONDC aims to break the dominance of large platforms (c). The Open Network for Digital Commerce, a DPIIT initiative (2021-22), is an open set of rules, like UPI for shopping. A buyer on one app can buy from a seller listed on another app. This interoperability lets small sellers reach buyers without joining a giant platform. Option (a) is wrong: it does not give the government control of transactions. Option (b) is wrong: private players can join; they are not replaced. Option (d) is wrong: it does not force UPI payments.
Notice ONDC's design: it is a not-for-profit company and part of India's Digital Public Infrastructure, along with Aadhaar, UPI and DigiLocker. It now covers food, groceries and mobility too.
options (a), (b) and (d) use strong words: "all", "replace", "mandate". A public digital platform usually opens a market; it does not take it over.
Answer as per the official UPSC answer key.
Which one of the following statements about Unified Payments Interface (UPI) and Central Bank Digital Currency (Digital Rupee) is not correct ?
Answer (d) & explanation
Statement (d) is not correct (d). Under UPI, money moves between bank accounts; the deposit is a liability of the bank. The Digital Rupee (e₹) is like a currency note in digital form, a direct liability of the RBI, not of users or banks. Option (a) is correct: UPI is a payment system, while the e-rupee is sovereign currency. Option (b) is correct: an e-rupee transfer moves value from wallet to wallet with no separate settlement. Option (c) is correct: e-rupee wallet transactions do not appear in bank statements.
Notice the legal base: the RBI Act was amended in 2022 to let the RBI issue a CBDC. Pilots began that year in wholesale (e₹-W) and retail (e₹-R) forms.
a "not correct" question. Look for the statement that puts the RBI's liability on someone else.
Answer as per the official UPSC answer key.
Which of the following statements about Real-World Assets (RWA) Tokenization are correct ?
- 1. Tokenization is the process of turning real world assets into digital tokens using blockchain technology.
- 2. Tokenization of real world assets offers 24x7 access, promoting financial inclusion.
- 3. Tokenization of real world assets will allow the access to high growth investment opportunities for individuals in India.
Select the answer using the code given below :
Answer (a) & explanation
All three statements are correct (a). Statement 1 is right: tokenization turns a real asset, like a building, bond or gold, into digital tokens recorded on a blockchain. Statement 2 is right: tokens can be traded 24x7, which widens financial inclusion. Statement 3 is right: small, fractional tokens let ordinary individuals get into high-growth investments that once needed crores. So options (b), (c) and (d) fail.
Notice the risks: unclear regulation, cyber threats and weak investor protection. In India, related steps include Fractional Ownership Platforms and REITs and InvITs, which already let small investors own slices of real estate and infrastructure. The RBI is also testing tokenized deposits and government securities in sandbox pilots.
Answer as per the official UPSC answer key.