Topic: Indian Economy and issues relating to planning, mobilization, of resources, growth, development and employment.
4. Explain the concept of Internationalisation of Rupee? Also, examine the necessity of this move, along with the benefits and potential drawbacks associated with it. (250 words)
Difficulty level: Tough
Reference: Indain Express
Why the question:
The article discusses how India’s economic situation is impacting the country’s trade plans and the value of the Indian rupee.
Key Demand of the question:
To write about the internationalisation of rupee, need for it, pros and cons associated with it.
Directive:
Explain – Clarify the topic by giving a detailed account as to how and why it occurred, or what is the context. You must be defining key terms wherever appropriate and substantiate with relevant associated facts.
Structure of the answer:
Introduction:
Begin by defining Internationalisation of Rupee.
Body:
Frist, write about the need of Internationalisation of Rupee – reducing dependence of dollar and other global currencies, global volatility, predicted recession etc.
Next, write about their advantages and disadvantages associated with Internationalisation of Rupee.
Conclusion:
Conclude by writing a way forward.
