Global Finance — Set 2
Abbreviations · वैश्विक वित्त · Questions 11–20 of 40
What is the full form of IDA, the arm of the World Bank that helps the poorest countries?
Correct Answer: A. International Development Association
• **International Development Association** = provides grants and low-interest loans to the world's poorest nations. • **1960** — IDA was established and is overseen by **174** member countries. • 💡 Wrong-option analysis: [International Distribution Authority]: 'Distribution Authority' is incorrect; [Independent Development Association]: Not 'Independent', but 'International'; [Internal Development Agency]: 'Internal' and 'Agency' are not part of the name.
In development finance, what does the abbreviation NDB stand for?
Correct Answer: B. New Development Bank
• **New Development Bank** = formerly referred to as the BRICS Development Bank. • **Shanghai, China** — The NDB bank is headquartered in this city. • 💡 Wrong-option analysis: [National Distribution Bank]: Not 'National' or 'Distribution'; [National Development Bureau]: 'Bureau' is incorrect; [Net Development Board]: 'Net' and 'Board' are not part of the name.
What does the abbreviation MIGA stand for in the World Bank Group?
Correct Answer: A. Multilateral Investment Guarantee Agency
• **Multilateral Investment Guarantee Agency** = offers political risk insurance to investors. • **1988** — MIGA was created as a specialized member of the World Bank Group. • 💡 Wrong-option analysis: [Management of Investment and Growth Association]: Incorrect terms in the expansion; [Multinational Investment and Gold Authority]: 'Gold Authority' is inaccurate; [Maintenance of International Global Assets]: Not the correct full form.
What is the full form of the abbreviation SDR used by the IMF?
Correct Answer: C. Special Drawing Rights
• **Special Drawing Rights** = an international reserve asset created by the IMF. • **five major currencies** — The value of SDR is based on a basket of these currencies. • 💡 Wrong-option analysis: [Standard Deposit Rate]: Not the correct term used by the IMF; [Sequential Debt Reform]: Incorrect financial concept; [Systematic Data Recording]: Not related to IMF's reserve assets.
What does the abbreviation AfDB stand for?
Correct Answer: B. African Development Bank
• **African Development Bank** = focuses on fighting poverty and improving living conditions on the continent. • **1964** — AfDB was founded and comprises three distinct entities. • 💡 Wrong-option analysis: [Associated Finance and Development Board]: Incorrect terms in the expansion; [Asian-focused Distribution Bureau]: 'Asian-focused' and 'Bureau' are incorrect; [Association for Development in Berlin]: Incorrect geographical focus and structure.
In international banking, what does the abbreviation LIBOR represent?
Correct Answer: D. London Interbank Offered Rate
• **London Interbank Offered Rate** = LIBOR was a benchmark interest rate at which global banks lend to one another. • Historically used as a primary indicator — for various financial products like mortgages and loans. • 💡 Wrong-option analysis: [Local Interbank Official Rate]: incorrect abbreviation; [London Internal Bank Operations Record]: incorrect abbreviation; [Legal Investment Board on Revenue]: incorrect abbreviation.
What is the full form of the abbreviation UNCTAD?
Correct Answer: A. United Nations Conference on Trade and Development
• **United Nations Conference on Trade and Development** = UNCTAD deals with trade, investment, and development issues. • Established in **1964** — as a permanent intergovernmental body. • 💡 Wrong-option analysis: [Universal Network for Commercial Trade and Distribution]: incorrect full form; [United Nations Committee for Technical and Asset Development]: incorrect full form; [Universal Northern Conference on Trade and Debt]: incorrect full form.
What does the abbreviation AIIB stand for in global infrastructure finance?
Correct Answer: A. Asian Infrastructure Investment Bank
• **Asian Infrastructure Investment Bank** = AIIB is a multilateral development bank that aims to improve economic outcomes in Asia. • Began operations in **2016** — focusing on investing in sustainable infrastructure. • 💡 Wrong-option analysis: [Associated International Investment Board]: incorrect full form; [All India Investment Bureau]: incorrect full form, not an international body; [Asian Industry and Integration Bank]: incorrect full form.
What is the full form of the abbreviation GATT, the predecessor to the WTO?
Correct Answer: C. General Agreement on Tariffs and Trade
• **General Agreement on Tariffs and Trade** = GATT was signed to reduce trade barriers and provide a framework for international trade negotiations. • Signed in **1947** — to reduce trade barriers. • 💡 Wrong-option analysis: [Global Association for Trade and Travel]: incorrect full form; [Global Agreement on Technical Trade]: incorrect full form; [General Authority on Tax and Treasury]: incorrect full form.
What does the abbreviation OPEC stand for in the global energy market?
Correct Answer: B. Organization of the Petroleum Exporting Countries
• **Organization of the Petroleum Exporting Countries** = OPEC is an intergovernmental organization of 13 nations aimed at coordinating petroleum policies. • Founded in **1960** — in Baghdad, Iraq, to ensure stable oil prices. • 💡 Wrong-option analysis: [Organization for Power and Energy Coordination]: incorrect full form; [Oil Producing and Exporting Corporation]: incorrect full form; [Oil and Petroleum Economic Council]: incorrect full form.