Consider the following statements:1.Most of India's external debt is owed by governmental entities.2.All of India's external debt is denominated in US dollars.Which of the statements given above is/are correct?

1. A

   1 only

   (a) 1 only. Most of India’s external debt is owed by the private and non-government sector (commercial borrowings, NRI deposits, trade credit), not by governmental entities. Statement 1 is false.

2. B

   2 only

   (b) 2 only. External debt is multi-currency: the US dollar is the largest share, not the whole. Rupee, SDR, yen, euro and others also appear. Statement 2 is false.

3. C

   Both 1 and 2

   (c) Both 1 and 2. Both statements fail, so this option is not the key.

4. D

   Neither 1 nor 2

   (d) Neither 1 nor 2. Government is not the main debtor, and the stock is not all dollar-denominated. That is the official key.

Summary. Official key is (d). India’s external debt is led by commercial borrowings, NRI deposits and trade credit, not by the sovereign. The dollar is the largest currency of denomination, not the only one. Both statements are therefore false. Honour (d).