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MPPSC (MP PCS) 2017 · Question 15 of 100

Which of the following statements is correct with regard to ‘International Monetary Fund’?

economy

  1. AIt can grant loans to any country.
  2. BIt can grant loans to only developed countries.
  3. CIt grants loans to member countries only.Correct
  4. DIt grants loans to the Central Bank of a Country.

Answer: C. It grants loans to member countries only.

Explanation

The IMF provides various types of loans to member governments. Concessional loans are granted to low-income countries at a concessional interest rate. While non-concessional loans are provided at market rate.

Source: MPPSC Prelims 2017 GS Paper-I (evidyarthi English solved compilation; answers per compilation)

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