A
Short-term speculative portfolio investments made exclusively in domestic stock markets.
B
Government-to-government concessional loans provided for infrastructure development.
C
Investment made by a firm or individual in one country into business interests located in another country.
D
Alternative investment capital that is restricted from being listed on public exchanges.
Correct answer: (c) Investment made by a firm or individual in one country into business interests located in another country.
Explanation
Option C is correct as FDI represents investment made by a firm or individual in one country into business interests located in another country. Option A refers to FPI/portfolio investment, and options C and D describe public debt and private equity respectively.
Same topic · past papers
UPSC has asked this before
These previous-year questions sit on the same topic. Open one to practise the earlier ask.