gs1medium

With reference to ‘IFC Masala Bonds’, sometimes seen in the news, which of the statements given below is/are correct?

  1. 1.The International Finance Corporation, which offers these bonds, is an arm of the World Bank.
  2. 2.They are the rupee-denominated bonds and are a source of debt financing for the public and private sectors.

Select the correct answer using the code given below.

  1. A.1 only
  2. B.2 only
  3. C.Both 1 and 2
  4. D.Neither 1 nor 2
▶ Answer & Explanation

Correct answer: C. Both 1 and 2

IFC Masala Bonds are issued in Indian Rupees in offshore markets. The International Finance Corporation (IFC) is indeed a member of the World Bank Group. These bonds aim to diversify funding sources for projects in India and other emerging markets, providing debt financing for both public and private entities.

Source: UPSC gs1 2016

Practice this question with answer tracking

Track your performance, build spaced repetition reviews, and see your weak areas.

Start practising free →