UPSC Essentials | Daily subject-wise quiz : Economy MCQs on PM SVANidhi scheme, World Trade Organisation and more (Week 125)

QUESTION 1

With reference to the PM SVANidhi scheme, consider the following statements:

1. The scheme was launched in 2018.

2. Recently, the government has extended the lending period from December 31, 2024 to March 31, 2030.

3. The scheme does not have the provision of a UPI-linked RuPay Credit Card for beneficiaries.

4. The scheme is implemented by the Ministry of Home Affairs.

How many of the statements given above are correct?

(a) Only one

(b) Only two

(c) Only three

(d) All four

Explanation

— The Union Cabinet approved the restructuring of the PM SVANidhi loan scheme for street vendors, extending it till March 31, 2030 and enhancing the loan amount.

— The scheme was launched in 2020 as a part of the government’s economic package during the Covid-19 pandemic and lockdown. Hence, statement 1 is not correct.

— The government has extended the lending period from December 31, 2024 to March 31, 2030, which is expected to benefit 1.15 crore beneficiaries, including 50 lakh new ones. Hence, statement 2 is correct.

— The scheme is implemented by the Ministry of Housing and Urban Affairs and the Department of Financial Services. Hence, statement 4 is not correct.

— “The key features of the restructured scheme include enhanced loan amount across first and second tranche, provision of UPI-linked RuPay Credit Card for beneficiaries who have repaid the second loan, and digital cashback incentives for retail and wholesale transactions. The scheme’s coverage is being expanded beyond statutory towns to census towns, peri-urban areas etc. in graded manner,” the government said. Hence, statement 3 is not correct.

Therefore, option (a) is the correct answer.

QUESTION 2

As per the recent Periodic Labour Force Survey (PLFS) released by the Ministry of Statistics and Programme Implementation (MoSPI), which of the following states has the highest unemployment in the age group of 15-29?

(a) Himachal Pradesh

(b) Maharashtra

(c) Bihar

(d) Madhya Pradesh

Explanation

— One in three persons in the age group of 15-29 is unemployed in Himachal Pradesh, as per a Ministry of Statistics and Programme Implementation (MoSPI) survey. The data showed that at 29.6 per cent, youth unemployment was the highest in the hill state in April-June quarter — more than double the national average of 14.6 per cent.

— The Ministry for the first time on August 18, 2025, released the quarterly data as per the revamped Periodic Labour Force Survey (PLFS).

— As per the survey, rural unemployment in Himachal Pradesh stood at 29.1 per cent in April-June quarter, and 31.3 per cent in urban areas. This despite the hill state registering the highest labour force participation in the country. In the age group of 15 years and above — those working or looking for jobs — Himachal led with 70.3 per cent, higher than the national average of 55 per cent.

Therefore, option (a) is the correct answer.

QUESTION 3

With reference to the World Trade Organisation (WTO), consider the following statements:

1. The WTO’s main decision-making body is the Ministerial Conference.

2. The WTO derives most of the income for its annual budget from contributions by its members.

3. Dr Ngozi Okonjo-Iweala is the first woman and the first African to serve as Director-General of the WTO.

Which of the statements given above are correct?

(a) 1 and 2 only

(b) 2 and 3 only

(c) 1, 2 and 3

(d) 1 and 3 only

Explanation

— The WTO has 166 members, accounting for 98% of world trade. All members have joined the system as a result of negotiation and therefore membership means a balance of rights and obligations.

— The WTO is run by its member governments. All major decisions are made by the membership as a whole, either by ministers (who meet at least once every two years) or by their ambassadors or delegates (who meet regularly at the WTO’s headquarters in Geneva). Decisions are normally taken by consensus.

— The WTO’s main decision-making body is the Ministerial Conference, which meets usually every two years. Below this is the General Council, which meets several times a year in Geneva. Hence, statement 1 is correct.

— The WTO derives most of the income for its annual budget from contributions by its members. These contributions are based on a formula that takes into account each member’s share of international trade. Hence, statement 2 is correct.

— Dr Ngozi Okonjo-Iweala is the seventh Director-General of the WTO. She took office on 1 March 2021, becoming the first woman and the first African to serve as Director-General. Hence, statement 3 is correct.

Therefore, option (c) is the correct answer.

(Source: http://www.wto.org)

QUESTION 4

With reference to the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS), consider the following statements:

1. The number of families working under the MGNREGS has consistently increased from 2021-22 to 2024-25.

2. The scheme has been suspended in Assam since 2022.

Which of the statements given above is/are correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Explanation

— The Centre has asked states to constitute teams of technical and administrative officers to conduct an inquiry into “high-cost” works under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS). According to sources, the Ministry of Rural Development (MoRD) sent an advisory in April, along with an analysis of such works under the social security and employment scheme.

— The Centre has spent about Rs 1 lakh crore on the NREGS annually in recent years. For the current financial year (2025-26), the Centre allocated Rs 86,000 crore for the scheme.

— The government launched the scheme in 2006 after Parliament passed the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) in 2005. It was first introduced in 200 most backward rural districts of the country and extended to 130 more districts in the financial year 2007-08, and to the entire country from 2008-09.

— The scheme saw a spike in demand for work during 2020-21 when a record 7.55 crore rural families availed the scheme in the wake of the Covid-19 outbreak. It became a safety net for migrant workers who returned to their villages during the Covid-19 lockdown in 2020. However, since then, the number of families working under the MGNREGS has gradually come down — 7.25 crore in 2021-22, 6.18 crore in 2022-23, 5.99 crore in 2023-24 and 5.79 crore in 2024-25. Hence, statement 1 is not correct.

— The last three financial years (2022-23 to 2024-25) do not include NREGS beneficiary figures for West Bengal, where the scheme has been suspended since March 2022. Since its inception, Rs 11,57,618 crore have been spent on the NREGS till date. Hence, statement 2 is not correct.

Therefore, option (d) is the correct answer.

QUESTION 5

With reference to the E-Commerce Export Hubs (ECEHs) initiative, consider the following statements:

1. It aims to provide dedicated zones for facilitating cross-border e-commerce exports from India.

2. The objective is to support SMEs, artisans, and small businesses by reducing the cost and time associated with logistics.

Which of the statements given above is/are correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Explanation

— The E-Commerce Export Hubs (ECEHs) initiative aims to provide dedicated zones for facilitating cross-border e-commerce exports from India. Hence, statement 1 is correct.

— The objective is to support SMEs, artisans, and small businesses by reducing the cost and time associated with logistics, streamlining regulatory processes, and simplifying re-imports for e-commerce returns or 2 rejects. Hence, statement 2 is correct.

— ECEHs shall provide integrated services at a single location, encompassing customs clearance, quality certification, packaging, and off-port warehousing.

Therefore, option (c) is the correct answer.

(Source: http://www.pib.gov.in)

Previous Daily Subject-Wise-Quiz

Daily Subject-wise quiz — History, Culture, and Social Issues (Week 123)

Daily subject-wise quiz — Polity and Governance (Week 125)

Daily subject-wise quiz —  Science and Technology (Week 125)

Daily subject-wise quiz — Economy (Week 124)

Daily subject-wise quiz — Environment and Geography (Week 123)

Daily subject-wise quiz – International Relations (Week 124)

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