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Question
As per the Reserve Bank of India (RBI) press report, dated 29th December, 2022:
"Net external commercial borrowings to India recorded an outflow of US$ 0.4 billion in the second quarter (2022-23)"
The above transaction will be recorded in the _______ account on ______ side of Balance of payments account of India.
Options
current, credit
current, debit
capital, credit
capital, debit
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Solution
As per the Reserve Bank of India (RBI) press report, dated 29th December, 2022:
"Net external commercial borrowings to India recorded an outflow of US$ 0.4 billion in the second quarter (2022-23)"
The above transaction will be recorded in the capital account on debit side of Balance of payments account of India.
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